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Bernie Manufacturing Company sells a single model of a wooden rack through two processing stages Cutting and Assembly. The company employs a process cost system with first in First out cost flow assumptions. It maintains separated Work in Process account for each production department. On March 1. 20xx the general ledger of Bernie Company contained the following accounts and balances. Bernie Company Balance Sheet Quiz navig For 1st March 20XX Assets Cash $ 160,000 Liabilitues Account Payable Accrued Payroll 51.000 $ 46.700 Account Receivables $ 10.800 $ 8,600 $ 61.800 Material WIP Cutting $ 9,600 WIP Assembly $ 13.500 $ 12,400 Finished Goods Equity Common Stocks $ 235,000 Retained Earnings ???? $ 288,200 Prepaid Insurance on Factory 800 Machinery and Equip.emt $ 108,000 Accumulated Depreciation $ 9,600 $ 98,400 $ 350,000 $ 350,000 Data related with the beginning work in process and operation during March 20xx are shown in Table 1 below. Table 13. Operation Data for Bernie Company during March 20XX Beginning Work in Process data are: Cutting Assembly Cost from Preceding Department $ 5.400 Materials $ 6.000 $ 3.600 Labor $ 2.400 $ 3,000 Factory Overhead $ 1,200 $ 1,500 Total Costs VA $ 9,600 $ 13,500 2,000 3,000 Unit in Work in Process, Beginning Inventory Units started in process in Cutting Department Unit transferred to Assembly Department 10,000 8,000 9.000 Unit transferred to Finished Goods Inventory 4,000 2,000 Units in Work in Process, Ending Inventory WIP Beginning Inventory Status Material 100% 75% Labor 50% 50% 50% 50% Factory Overhead Form prior Department WIP Ending Inventory Status 100% Material 80% 40% Labor 40% 20% Factory Overhead 40% 20% From prior Department 100% During March 20XX, the following transactions were completed and recorded as follows: (a) Purchased material costing $43,000 on account. (b) Payroll totalling $49,800 was accrued. (C) Payroll was distributed as follows: Cutting Department. $20,640: Assembly Department $12.640; Indirect Labor, $ 10,520; and 40% ofthe rest for administration salary and 60% of the rest for sales and marketing salary, (d) Materials were issued as follows: $27,600 to Cutting Dapartment $ 12,080 to Assembly Department: Indirect material costing $3,800. theme of 5094 (a) Materials were issued as Tollows: 327,600 10 cutong Dapat menee BSESSI Department: Indirect material costing $ 3,800. (e) Factory overhead was applied to Cutting and Assembly Department in the rate of 50% of direct labor cost. (8,000 units of work in process were completed in Cutting Department and immediately transfer to Assembly Department. (g) 9,000 units of products were completed in Assembly Department and immediately transfer to Finished Goods Warehouse. (h) All but $10,300 of finished goods were sold on cash. The markup was 40% above production cost. (1) Administration expenses (other than salaries) paid during the month amounted to $2.200. Miscellaneous factory overhead of $ 2.820 was paid on cash. Depreciation on factory machinery was $ 400 and the prepaid insurance cost for factory was $ 80. C) The accrued payroll were paid as amount of $ 40,000, and account payables were paid in amount of $50,000 (k) Applied Factory Overhead was closed to Factory Overhead Control. The overapplied or Underapplied overhead is the closed to cost of Goods Sold. Questions 1. Pepare the Cost of Production Report for March 20XX. (20) (Worksheet 3) 2. Record March 1, 20xx balances in T-accounts and calculate the retained earnings (5) (Worksheet 4) 3. Record all the March 20xx transactions in T-accounts and. (35) (Worksheet 4) 4. Prepare the balance sheet for end of March 20XX. (10) (Worksheet 4) Bernie Manufacturing Company sells a single model of a wooden rack through two processing stages Cutting and Assembly. The company employs a process cost system with first in First out cost flow assumptions. It maintains separated Work in Process account for each production department. On March 1. 20xx the general ledger of Bernie Company contained the following accounts and balances. Bernie Company Balance Sheet Quiz navig For 1st March 20XX Assets Cash $ 160,000 Liabilitues Account Payable Accrued Payroll 51.000 $ 46.700 Account Receivables $ 10.800 $ 8,600 $ 61.800 Material WIP Cutting $ 9,600 WIP Assembly $ 13.500 $ 12,400 Finished Goods Equity Common Stocks $ 235,000 Retained Earnings ???? $ 288,200 Prepaid Insurance on Factory 800 Machinery and Equip.emt $ 108,000 Accumulated Depreciation $ 9,600 $ 98,400 $ 350,000 $ 350,000 Data related with the beginning work in process and operation during March 20xx are shown in Table 1 below. Table 13. Operation Data for Bernie Company during March 20XX Beginning Work in Process data are: Cutting Assembly Cost from Preceding Department $ 5.400 Materials $ 6.000 $ 3.600 Labor $ 2.400 $ 3,000 Factory Overhead $ 1,200 $ 1,500 Total Costs VA $ 9,600 $ 13,500 2,000 3,000 Unit in Work in Process, Beginning Inventory Units started in process in Cutting Department Unit transferred to Assembly Department 10,000 8,000 9.000 Unit transferred to Finished Goods Inventory 4,000 2,000 Units in Work in Process, Ending Inventory WIP Beginning Inventory Status Material 100% 75% Labor 50% 50% 50% 50% Factory Overhead Form prior Department WIP Ending Inventory Status 100% Material 80% 40% Labor 40% 20% Factory Overhead 40% 20% From prior Department 100% During March 20XX, the following transactions were completed and recorded as follows: (a) Purchased material costing $43,000 on account. (b) Payroll totalling $49,800 was accrued. (C) Payroll was distributed as follows: Cutting Department. $20,640: Assembly Department $12.640; Indirect Labor, $ 10,520; and 40% ofthe rest for administration salary and 60% of the rest for sales and marketing salary, (d) Materials were issued as follows: $27,600 to Cutting Dapartment $ 12,080 to Assembly Department: Indirect material costing $3,800. theme of 5094 (a) Materials were issued as Tollows: 327,600 10 cutong Dapat menee BSESSI Department: Indirect material costing $ 3,800. (e) Factory overhead was applied to Cutting and Assembly Department in the rate of 50% of direct labor cost. (8,000 units of work in process were completed in Cutting Department and immediately transfer to Assembly Department. (g) 9,000 units of products were completed in Assembly Department and immediately transfer to Finished Goods Warehouse. (h) All but $10,300 of finished goods were sold on cash. The markup was 40% above production cost. (1) Administration expenses (other than salaries) paid during the month amounted to $2.200. Miscellaneous factory overhead of $ 2.820 was paid on cash. Depreciation on factory machinery was $ 400 and the prepaid insurance cost for factory was $ 80. C) The accrued payroll were paid as amount of $ 40,000, and account payables were paid in amount of $50,000 (k) Applied Factory Overhead was closed to Factory Overhead Control. The overapplied or Underapplied overhead is the closed to cost of Goods Sold. Questions 1. Pepare the Cost of Production Report for March 20XX. (20) (Worksheet 3) 2. Record March 1, 20xx balances in T-accounts and calculate the retained earnings (5) (Worksheet 4) 3. Record all the March 20xx transactions in T-accounts and. (35) (Worksheet 4) 4. Prepare the balance sheet for end of March 20XX. (10) (Worksheet 4)

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