Chapter 16 -- Journal Entries

Question 1

To Record the Purchase of Materials

Answer 1

• Raw Materials Inventory
  *Accounts Payable, Cash, etc.

Question 2

To Record Factory Labor Cost Incurred

Answer 2

Factory Labor
Factory Labor Payable

Question 3

To Record Actual Manufacturing Costs incurred

Answer 3

Manufacturing Overhead
Accounts Payable, Cash, Accumulated Depreciation, etc

Question 4

To Record Materials Requisitioned by the Production Departments

Answer 4

Work in Process Inventory - Dept 1
Work in Process Inventory - Dept 2
Raw Materials Inventory

Question 5

To Record Factory Labor Incurred

Answer 5

Work in Process - Dept 1
Work in Process - Dept 2
Factory Labor

Question 6

To Record Applied Manufacturing Overhead using Predetermined Overhead Rates

Answer 6

Work in Process - Dept 1
Work in Process - Dept 2
Manufacturing Overhead

Question 7

Record the completion by one department and transfer it to the next.

Answer 7

Work in Process - Dept 2
Work in Process - Dept 1

Question 8

To record completion by next department and transfer to Finished Goods Inventory

Answer 8

Finished Goods Inventory
Work in Process Inventory - Dept 2

Question 9

To Record the Sale of Goods

Answer 9

Cost of Goods Sold
Finished Goods Inventory