Previous 0 Page 6 of 810 Next00 Submit Quiz Carmel Company m

?Previous 0 Page 6 of 81,0 Next00 Submit Quiz Carmel Company manufactures departments. The records indicate that direct materials, direct labor, and applied factory a single product by a continuous process, involving the production overhead for were $160,000, $125,000, and $150,000, respectively. The records further indicate that direct als, direct labor, and applied factory overhead for Department 2 were $40.000, $60,000, and $70,000, respectively. In addition, work in process at the beginning of the period for Department 1 totaled $75,000, and work in process at the end of the period totaled $60,000. The journal entry to record the flow of costs into Department 2 during the period for direct materials is a Materials 40,000 Work in Process-Department2 Cev b. Work in Process-Department 2 40.000 40.000 Materials 40,000 c. Materials 160,000 Work in Process-Department 160,000 d. Work in Process-Department 1 170,000 Materials 170,000 CHAPTER 20- PROCESS COST SYSTEMS Study 0 Progress0 Previous Page 7 of 8 Next 0 Submit Quiz What is the journal entry for the application of Factory Overhead to Work in Process if the driver is imprints the rate is $1.80 per imprint, and the imprint meter reads 1,780 at the start of the day and 2,890 at the end of the day for a total of $1,998 to be applied? a. Work in Process 1,998 Factory Overhead 1,998 b. Work in Process 1.998 Depreciation Expense 1,998 1,998 c. Work in Process Cash 1,998 d. Work in Process 1.80 Factory Overhead 1.80 CHAPTER 20- PROCESS COST SYSTEMS O Previous 0 Page 8 of 8 0 Next The journal entry to record applied factory overhead includes a(n Study 0 Progress0 Submit Quiz a. decrease to Factory Overhead. b. decrease to Work in Process. C. increase to Wages Payable d. increase to Factory Overhead.

Solution

1)correct option is \"B\"

Journal entry for use of Direct material in Department 2 will include:

2)

correct option is \"A\"

Factory overhead applied in total for the period = 1998

3)correct option is \" A\"

normally Factory overhead has debit balance .so Factory overhead is debited when increased and credited when Decreased.

Applicaion of factory overhead includes debit to work in process and credit to factory overhead

Account	Debit	credit
Work in process-Department 2	40000
Raw material inventory		40000