Chris began the year with $3,450 worth of raw materials, $8,400 worth of work in

Question

Chris began the year with $3,450 worth of raw materials, $8,400 worth of work in process, $9,500 worth of finished goods, $18,320 cash and $39,670 in Owner's Equity. a. Chris purchases steel for $3,500 cash, and welding supplies for $600 cash (included were both direct materials and indirect materials) b. c. Chris issued $2,000 of steel from the storeroom to be used in producing grills. d. Chris issued $140 of welding supply (indirect) from the storeroom to be used in producing grills. e. Chris paid their welders $1,800 cash for work performed in the current period. f. Chris paid their janitor $200 cash for work porformed in the current period. g. Chris paid cash for rent on welding equipment related to manufacturing grills in the sum of $400. h. Chris paid cash for advertising expenses of $700 i. Chris estimated that $800 worth of overhead cost should be applied to the grills in work-in- process j. Chris completed grills that had cost $9,400 to produce. These grills were not sold immediately. k. Chris sold $16,000 worth of grills for $21,400 Cash.

Explanation / Answer

Cash

Raw Materials Inventory

Work in Process Inventory

Finished Goods Inventory

Cost of Goods Sold Expense

Manufacturing Overhead

Sales Revenue

Selling and Administrative Expense

Owners' Equity

BB 18,320 Raw Materials Inventory 4,100 Sales Revenue 21,400 Direct Labor 1,800 Indirect Labor 200 Rent on Equipment 400 Selling and Administrative Expenses 700 Total 39,720 Total 7,200 EB 32,520

Related Questions

Navigate

• Browse (All)
• Browse C
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.