Question

A movie production studio incurred the following costs related to its current movie: Purchased office supplies on account: $36,000 Issued direct supplies: $22,509 Issued indirect supplies: $7,550 Time tickets showing direct labor: $32,503,220 Time tickets showing indirect labor: $574,322 Utilities expense on account: $957,320 Overhead applied: 10% of direct labor cost Create journal entries for the listed transactions. If an amount box does not require an entry, leave it blank.

Answer 1

S/n General Journal Debit Credit

a. Office supplies $36,000

Account payable $36,000

b. Work in process $22,509

Office supplies $22,509

c. Manufacturing overhead $7,550

Office supplies $7,550

d. Work in process $32,503,220

Wages payable $32,503,220

e. Manufacturing overhead $574,327

Wages payable $574,327

f. Manufacturing overhead $957,320

Utilities payable $957,320

g. Work in process $3,250,322

Manufacturing overhead $3,250,322