Work in Process
Balance, June 1 $ 40,000
Direct materials 270,000
Direct labor 320,000
Factory overhead 176,000
Jobs finished during June are summarized as follows:
Job 320 $160,000 Job 327 $ 100,000
Job 326 175,000 Job 350 318,000
a. Journalize the entry to record the jobs completed.
b. Determine the cost of the unfinished jobs at June 30.
Answer:
a.
Finished Goods* 753,000
Work in Process 753,000
* $160,000 + $175,000 + $100,000 + $318,000
b. Cost of unfinished jobs at June 30:
Balance in Work in Process at June 1……………………… $ 40,000
Add: Direct materials………………………………………… 270,000
Direct labor…………………………………………… 320,000
Factory overhead……………………………………… 176,000 $806,000
Less: Jobs finished during June…………………………… 753,000
Balance in Work in Process at June 30……………………… $ 53,000