Milner Company is working on two job orders. The job cost sheets show the following. Job 201 Job 202
Direct materials $7,450 $8,950
Direct labor 4,200 8,250
Manufacturing overhead 5,250 10,050

Required:
Prepare the three summary entries to record the assignment of costs to Work in Process from the data on the job cost sheets.

Following are the solution to this question:

Explanation:

For point 1:

The stock of work in progress

inventory of raw materials

(In order to assign work materials)

For point 2:

The stock of works in progress

job in the factory

(The work is assigned)

For point 3:

Inventory job for Inventory works

Overhead production

(Appointment of work overhead)

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