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Purchased raw materials on account, $85,000. Raw Materials of $30,000 were requisitioned to the factory. An analysis of the materials requisition slips indicated that $6,000 was classified as indirect materials. Factory labor costs incurred were $100,000 of which $80,000 pertained to factory wages payable and $20,000 pertained to employer payroll taxes payable. Time tickets indicated that $84,000 was direct labor and $16,000 was indirect labor. Overhead costs incurred on account were $112,000.
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Purchased raw materials on account, $85,000. Raw Materials of $30,000 were requisitioned to the fact...
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