80.2K

Verified Solution

Link Copied!

Required information [The following information applies to the questions displayed below] Bunnell Corporation is a manufacturer that uses job order costing. On January 1, the company's inventory balances were as follows The company applies overhead cost to jobs using direct labor-hours. For this year, the company's predetermined overhead rate of $1175 per direct labor-hour was based on a cost formula that estimated $470,000 of total manufacturing overhead for an estimated activity level of 40,000 direct labor-hours. The following transactions were recorded this year a. Raw materials were purchased on account, $592,000. b. Raw materials used in production, $557,000. All of of the raw materiais were used as direct materials c. The following costs were accrued for employee services: direct labor, $420,000; indirect labor, $150,000; selling and administrative salaries, $295,000 d. Incurred various selling and administrative expenses fe g, advertising, sales travel costs, and finished goods warehousing), $381,000 e Incurred various manufacturing overhead costs (e g, depreciation, insurance, and utilities), $320,000. f. Manufacturing overhead cost was applied to production. The company actually worked 41,000 direct labor-hours on all jobs during the year; g. Jobs costing $1,399,450 to manufacture according to their job cost sheets were completed during the year. h. Jobs were sold on account to customers during the year for a total of $2,925,000. The jobs cost $1,409,450 to manufacture according to their job cost sheets. 11. What is the journal entry to record the cost of goods sold referred to in item h above? Note: If no entry is required for o tronsection/event, select "No journal entry required" in the first account field

Answer & Explanation Solved by verified expert

See Answer