Reference no: EM132992728

Barnes Company uses a job order cost system. The following data summarize the operations related to production for October:

1. Materials purchased on account, $315,500.

2. Materials requisitioned, $290,100, of which $8,150 was for general factory use.

3. Factory labor used, $489,500 of which $34,200 was indirect.

4. Other costs incurred on account for factory overhead, $600,000; selling expenses, $150,000; and administrative expenses, $100,000.

5. Prepaid expenses expired for factory overhead were $18,000; for selling expenses, $6,000; and for administrative expenses, $5,000.

6. Depreciation of office building was $30,000; of office equipment, $7,500; and of factory equipment, $60,000.

7. Factory overhead costs applied to jobs, $711,600.

8. Jobs completed, $1,425,000.

9. Cost of goods sold, $1,380,000.

Problem a. Journalize the transactions.

Problem b. Prepare a table showing the total charges for each Job and in total.

Problem c. Answer the following: (1) What is the balance of the work in process (2) What is the balance of the finished goods (3) What is the total cost of goods sold

Problem d. Prepare the statement of cost of goods sold and determine the gross profit per job and in total. Assume that sales is $1,500,000.