a.

Materials 229,040
Accounts payable 229,040

Purchase material purchase computed as follow:

Material X = 20,000 u x P5.20 - 104,000

Material Y = 24,000 u x P3.75 - 90,000
Indirect materials 35,040
229, 040

b.

Payroll 220,000
Withholding taxes payable 31,000
SSS premiums payable 7,000
Philhealth contributions payable 440
Pag-ibig fund contributions payable 6,600
Accrued payroll 174,960

Accrued payroll 174, 960

Cash 174, 960

c.

Work in process 156,000

FO control 24,000
Mktg. & adm. expense control 40,000
Payroll 220,000

SOLUTION:
Job 101 10,000 x 4 = 40,000
Job 102 16,000 x 5 = 80,000
Job 103 12,000 x 3 = 36,000
Total 156,000
Indirect labor 24,000
Marketing. & Adm. 40,000
220,000
 d.
Work in process 216,350
FO control 15,040
Materials 231,390

SOLUTION:
Material X 113,600
Material Y 102,750 216,350
Indirect materials 15,040
231,390
e.
Work in process 85,500
FO Applied 85,500

SOLUTION:
Job 101 10,000 x P2.25 = 22,500
Job 102 16,000 x P2.25 = 36,000
Job 103 12,000 x P2.25 = 27,000
85,500
f.
Accounts receivable 510,000
Sales 510,000

Cost of goods sold 380, 700

Work in process 380,700

SOLUTION:
Job 101 176,700
Job 102 204,000
380,700

g.

Cash 494,000
Sales discount 26,000
Accounts receivable 520,000

SOLUTION;

Accounts receivable 494, 000 / 95% = 520, 000

Sales discounts 520, 000 x 5% = 26, 000
 h.
Marketing & Adm. expense control 30,000
FO control 25,600
Cash 51,600
Accumulated depreciation 4,000

i.
Accounts payable 170,000
Cash 170,000

j.

FO applied 85,500
Cost of goods sold 6,100
FO control 79,400

SOLUTION:
JE (c) 24,000
14,760
JE (d) 15,040
JE (h) 25,600
Total FO control 79,400
JE (e) FO applied (85,500)
Over-applied FO (6,100)
 RECEIVED ISSUED BALANCE
MATERIAL X
Beg. 4,000 u - P5.0 -20,000 Job 101 4,000 u P5.00 -20,000 4,000 u - P5.00 20,000
20,000 u - P5.20 -104,00 16,000 u P5.20 -83,200 20,000 u - P5.20 104,000
103,200 24,000 u 124,000
Job 103 2,000 u P5.20 10,400 20,000 u - P5.20 104,000
4,000 u - P5.20 20,800
2,000 u - P5.20 10,400

STOCK CARD

RECEIVED ISSUED BALANCE

MATERIAL Y
Beg. 8,000 u @ P3.00 24,000 Job 102 8,000 u - P3.00 20,000 8,000 u - P3.00 24,000
24,000 u @ P3.75 90,000 16,000 u - P3.75 60,000 24,000 u - P3.75 90,000
84,000 32,000 u 114,000
Job 103 5,000 u - P3.75 18,750 24,000 u - P3.75 90,000
8,000 u - P3.75 30,000
3,000 u - P3.75 11,250

RECEIVED ISSUED BALANCE

INDIRECT MATERIALS
35,040 24,000 11,040

JOB ORDER COST SHEET

DIRECT MATERIALS DIRECT LABOR FACTORY OVERHEAD TOTAL

Beg. 1,000 x 5.00 5,000 Beg. 1,000 hrs. x 4.00 4,000 Beg. 1,000 hrs. x 2.00 20, 000
Mat. X 4,000 x 5.00 20,000 10,000 hrs. x 4.00 40,000 10,000 hrs. x 2.25 22,500
16,000 x 5.20 83, 200 44,000 24,500 176,700
 108, 200

DIRECT MATERIALS DIRECT LABOR FACTORY OVERHEAD TOTAL

Beg. 400 u x 3.00 1, 200 Beg 400 hrs. x 5.00 2,000 Beg. 400 hrs. x 2.00 800
Mat. Y 8,000 u x 3.00 24, 000 16,000 hrs. x 5.00 80,000 16,000 hrs. x 2.25 36, 000
16,000 u x 3.75 60, 000 82,000 36, 800 204, 000
85, 200

DIRECT MATERIALS DIRECT LABOR FACTORY OVERHEAD TOTAL

Mat. X. 2, 000 u x 5.20 10, 400 Beg 12, 000 hrs. x 3.00 36,000 Beg. 12, 000 hrs. x 2.25 27, 000
Mat. Y 5,000 u x 3.75 18, 750 36,000 27, 000 95, 150
29,150