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Question - Vista Company installed a standard cost system on January 1. Selected transactions for the month of January are as follows.
1. Purchased 18,500 units of raw materials on account at a cost of $3.60 per unit. Standard cost was $3.20 per unit.
2. Issued 18,500 units of raw materials for jobs that required 18,050 standard units of raw materials.
3. Incurred 15,000 actual hours of direct labor at an actual rate of $4.10 per hour. The standard rate is $4.50 per hour. (Credit Factory Wages Payable.)
4. Performed 15,000 hours of direct labor on jobs when standard hours were 15,110.
5. Applied overhead to jobs at the rate of 100% of direct labor cost for standard hours allowed.
Required - Journalize the January transactions.
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