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The following partially completed T-accounts summarize last year\'s transactions

ID: 2345763 • Letter: T

Question

The following partially completed T-accounts summarize last year's transactions for Kelshaw Company.

Raw Materials

Work in Process

2,500

6,800

17,900

11,500

13,700

26,800

Manufacturing Overhead

Accounts Payable

7,300

11,500

4,500

2,500

Finished Goods

Wages & Salaries Payable

16,400

49,600

Sales Salaries Expense

Accumulated Depreciation (Factory)

8,400

Cost of Goods Sold

At the end of the year, the company closes out the balance in the Manufacturing Overhead account to Cost of Goods Sold.

The following partially completed T-accounts summarize last year's transactions for Kelshaw Company.

Explanation / Answer

Answer: $11,500. $18,800 raw materials were put into production. $7,300 were indirect materials (manufacturing overhead was debited). $11,500 were direct materials (work in process was debited).