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Author Question: Here is selected data for Lorelei Corporation:Cost of raw material purchased$75,000Cost of ... (Read 81 times)

Capo

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Here is selected data for Lorelei Corporation:

Cost of raw material purchased$75,000
Cost of requisitioned direct materials    41,000
Cost of requisitioned indirect materials2,000
Direct labour75,000
Manufacturing overhead incurred    95,000
Cost of goods completed  226,750
Cost of goods sold138,000
Beginning raw materials inventory    15,000
Beginning work in process inventory32,000
Beginning finished goods inventory31,000
Manufacturing overhead allocation rate (based on direct labour)       125%


At Lorelei Corporation the journal entry to transfer completed goods to the finished goods inventory account would include a
◦ debit to finished goods inventory for $227,875.
◦ debit to work in process inventory for $226,750.
◦ credit to work in process inventory for $227,875.
◦ debit to finished goods for $226,750.


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Marked as best answer by Capo on Jan 4, 2020

fatboyy09

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Capo

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Reply 2 on: Jan 4, 2020
Great answer, keep it coming :)


vickybb89

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Reply 3 on: Yesterday
Gracias!

 

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