home business managerial accounting kurtz fencing inc uses a job order cost system t 2889297

Home Business Managerial Accounting Kurtz Fencing Inc. uses a job order cost system. The
Kurtz Fencing Inc. uses a job order cost system. The
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Kurtz Fencing Inc. uses a job order cost system. The following data summarize the operations related to production for March, the first month of operations:
A. Materials purchased on account, $45,000.
B. Materials requisitioned and factory labor used:
Job Materials Factory Labor
301………………………………..$1,850…………………..$2,500
302………………………………….3,150…………………….7,220
303………………………………….2,200…………………….5,350
304………………………………….1,800…………………….2,400
305………………………………….4,230…………………….6,225
306………………………………….1,770…………………….2,900
For general factory use……………1,200…………………….5,000
C. Factory overhead costs incurred on account, $1,800.
D. Depreciation of machinery and equipment, $2,500.
E. The factory overhead rate is $30 per machine hour. Machine hours used:
Job Machine Hours
301…………………………………30
302…………………………………60
303…………………………………41
304…………………………………63
305…………………………………70
306…………………………………36
Total………………………………300
F. Jobs completed: 301, 302, 303, and 305.
G. Jobs were shipped and customers were billed as follows: Job 301, $8,500; Job 302, $16,150; Job 303, $13,400.
Instructions
1. Journalize the entries to record the summarized operations.
2. Post the appropriate entries to T accounts for Work in Process and Finished Goods, using the identifying letters as transaction codes. Insert memo account balances as of the end of the month.
3. Prepare a schedule of unfinished jobs to support the balance in the work in process account.
4. Prepare a schedule of completed jobs on hand to support the balance in the finished goods account.

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