Journal Entries, T-Accounts Ehrling Brothers Company makes jobs to customer order. During the month of July, the following occurred: Materials were purchased on account for $45,760. Materials totaling $40,880 were requisitioned for use in producing various jobs. Direct labor payroll for the month was $19,200 with an average wage of $12 per hour. Actual overhead of $8,860 was incurred and paid in cash. Manufacturing overhead is charged to production at the rate of $5.40 per direct labor hour. Completed jobs costing $59,000 were transferred to Finished Goods. Jobs costing $58,000 were sold on account for $ 73,750. Make the entry to record the revenue from the sale first, followed by the entry to record the cost of the jobs. Beginning balances as of July 1 were:
Materials Inventory $1,200
Work-in-Process Inventory 3,400
Finished Goods Inventory 2,640
Required:
1. Prepare the journal entries for the preceding events.
a.
b.
c.
d.
e.
f.
g (1).
g (2).
2. Calculate the ending balances of:
a. Materials Inventory $
b. Work-in-Process Inventory $
c. Overhead Control $
d. Finished Goods Inventory $

1.                       Journal Entries

S/n   Account Title                    Debit       Credit

a       Raw materials inventory  $45,760  

             Accounts payable                      $45,760

b      Work in process inventory $40,880  

            Raw materials inventory                $40,980

c      Work in process inventory   $19,200

            Wages payable                               $19,200

d     Manufacturing overhead       $8,860

              Cash                                              $8,860

e    Work in process inventory       $7,406

      (19,200 /14*5.40)

           Manufacturing overhead                  $7,406

f     Finished goods inventory         $59,000  

          Work in process inventory                  $59,000

g1)   Accounts receivable                 $73,750  

          Sales                                                     $73,750

g2)Cost of goods sold             $58,000  

           Finished goods inventory                    $58,000

2. Ending balances

a. Materials Inventory = $ 1,200 + 45,760 - $40,880 = $6,080

b. Work-in-Process Inventory = $ 3,400 + $40,880 + $19,200 + $7,406 - $59,000 = $11,886

c. Overhead Control = $ 8,860 - $7,406 = $1,454

d. Finished Goods Inventory =  $2,640 + $59,000 - $58,000 = $3,640

the earnings of a typical investor is around $1,000,000 to $10,000,000

hope this !

have a good day!

answer; the nav calculated at the market close at 4: 00 pm new york time;