Zang Co Manufacturers Its Products in a Continuous Process Involving Two

question 30

Short Answer

Zang Co. manufacturers its products in a continuous process involving two departments, Machining and Assembly.  Prepare journal entries to record the following transactions related to production during June:
(a) Materials purchased on account, $180,000
(b) Materials requisitioned by: Machining, $73,000 direct and $9,000 indirect materials; Assembly, $4,900 indirect materials
(c) Direct labor used by Machining, $23,000; Assembly, $47,000
(d) Depreciation expenses: Machining, $4,500; Assembly, $7,800
(e) Factory overhead applied: Machining, $9,700; Assembly, $11,300
(f) Machining Department transferred $98,300 to Assembly Department; Assembly Department transferred $83,400 to finished goods
(g) Sold goods on account, $100,000; cost of goods sold, $68,000

Understand Adam Smith's views on trade and the rationale behind national economic activities.

Identify historical trends in the net exports (Xn) of the United States.

Compare the population and GDP sizes of the European Union and the United States.

Analyze the composition of the US trade balance including merchandise and services.

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Definitions:

Domestically

Pertaining to or within a specific country's borders, often in contrast to international or foreign.

Trade

The act of buying, selling, or exchanging goods and services between parties within an economy or between economies.

Imports

Goods or services brought into a country from abroad for sale.

Domestic Market

The supply and demand for goods and services within a country's borders.