Fort Corporation Had the Following Transactions During Its First Month

question 158

Essay

Fort Corporation had the following transactions during its first month of operations:
1. Purchased raw materials on account $85000.
2. Raw Materials of $30000 were requisitioned to the factory. An analysis of the materials requisition slips indicated that $6000 was classified as indirect materials.
3. Factory labor costs incurred were $175000 of which $145000 pertained to factory wages payable and $30000 pertained to employer payroll taxes payable.
4. Time tickets indicated that $145000 was direct labor and $30000 was indirect labor.
5. Overhead costs incurred on account were $198000.
6. Manufacturing overhead was applied at the rate of 150% of direct labor cost.
7. Goods costing $115000 are still incomplete at the end of the month; the other goods were completed and transferred to finished goods.
8. Finished goods costing $100000 to manufacture were sold on account for $130000.
Instructions
Journalize the above transactions for Fort Corporation.

---

Definitions:

Psychoanalytic Theory

A framework for understanding the human mind and behavior that emphasizes unconscious psychological processes.

EEG

stands for electroencephalogram, a test that measures the electrical activity of the brain.

Foreign Language

Any language that is not one's native or primary language, learned in order to communicate with speakers of that language or understand their culture.

Evolutionary Theory

A theory explaining the diversity of biological species through gradual processes of change and selection over generations.