The Cost of Materials Transferred into the Bottling Department of Mountain

question 89

Essay

The cost of materials transferred into the Bottling Department of Mountain Springs Water Company is $32,400, with $26,000 from the Purifying Department, plus an additional $6,400 from the materials storeroom. The conversion cost for the period in the Bottling Department is $8,750 ($3,750 factory applied and $5,000 direct labor). The total cost transferred to finished goods for the period was $31,980. The Bottling Department had a beginning inventory of $1,860.
a.Journalize the entries to record the cost of transferred-in materials, conversion costs, and the cost transferred out to finished goods.
b.Determine the balance of Work in Process-Bottling at the end of the period.​

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Definitions:

Pending Layoff

A situation where employees are at risk of losing their jobs due to organizational changes, but final decisions have not yet been made.

Contingency Workers

Individuals employed on a temporary or contractual basis, as opposed to permanent, full-time employees, to provide flexibility in workforce management.

Dramatically

Carrying significant impact or change; often used to describe situations or results that are strikingly different from the norm.

Productivity

The quantity and quality of work performance, with resource utilization considered.