The Following Information Pertains to Questions

question 36

Short Answer

The following information pertains to questions
A government department uses an encumbrance system to keep tabs on spending.On July 1,2013,a department employee issued a purchase order for cleaning supplies estimated to cost $500.The supplies were delivered promptly,and invoiced at $450.
-What would be the journal entry to record the payment of the invoice?

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Definitions:

Raw Material

The basic materials and substances that are used in the production of goods, typically transformed through manufacturing processes.

Property, Plant, and Equipment

Property, Plant, and Equipment refers to the long-term assets owned by a company, used in the production or supply of goods and services, and not intended for sale in the normal course of business.

Fixed Manufacturing Overhead

Indirect manufacturing costs that do not vary with the level of production, such as rent, property taxes, and insurance.

Direct Labor

Direct labor refers to the work performed by employees directly involved in the manufacturing process of products.