A)

1) Specific Job
To record the cost of production
Work in Process 1,760,000.00
Materials (400 X 2,000) 800,000.00
Payroll (200 X 2,000) 400,000.00
Factory Overhead Applied (400,000 X 140%) 560,000.00

To record the cost of reworks

Work in Process 232,000.00
Materials (P20 X 2,000) 40,000.00
Payroll (P40 X 2,000) 80,000.00
Factory Overhead Applied (P40 X 2,000 X 140%) 112,000.00

To record the transfer to finished goods

Finished Goods Inventory 1,992,000.00
Work in Process 1,992,000.00
B)
1) Unit Cost (1,992,000 / 2,000) 996.00

A)
2) All Production
To record the cost of production
Work in Process 1,800,000.00
Materials (400 X 2,000) 800,000.00
Payroll (200 X 2,000) 400,000.00
Factory Overhead Applied (400,000 X 150%) 600,000.00

To record the cost of reworks

Factory Overhead Control 240,000.00
Materials (P20 X 2,000) 40,000.00
Payroll (P40 X 2,000) 80,000.00
Factory Overhead Applied (P40 X 2,000 X 150%) 120,000.00

To record the transfer to finished goods

Finished Goods Inventory 1,800,000.00
Work in Process 1,800,000.00
B)
2) Unit Cost (1,800,000 / 2,000) 900.00
1) Specific Job
To record the cost of production
Work in Process 2,440,000.00
Materials 5,000 X 200 1,000,000.00
Payroll 5,000 X 120 600,000.00
Factory Overhead Applied 5,000 X 120 X 140% 840,000.00

To record the cost of reworks

Work in Process 122,000.00
Materials 1,000 X 50 50,000.00
Payroll 1,000 X 30 30,000.00
Factory Overhead Applied 1,000 X 30 X 140% 42,000.00

To record the spoilage

Spoiled Goods Inventory/Cash 20 X P400 8,000.00
Work in Process 8,000.00

To record the transfer to finished goods

Finished Goods Inventory 2,554,000.00
Work in Process 2,554,000.00

3-a) Unit Cost (2,554,000 / 4,980) 512.85

2) All Production
To record the cost of production
Work in Process 2,500,000.00
Materials 5,000 X 200 1,000,000.00
Payroll 5,000 X 120 600,000.00
Factory Overhead Applied 5,000 X 120 X 150% 900,000.00

To record the cost of reworks

Factory Overhead Control 125,000.00
Materials 1,000 X 50 50,000.00
Payroll 1,000 X 30 30,000.00
Factory Overhead Applied 1,000 X 30 X 150% 45,000.00

To record the spoilage

Spoiled Goods Inventory/Cash 20 X P400 8,000.00
Factory Overhead Control 2,000.00
Work in Process (200 + 120 + 180) X 20 10,000.00

To record the transfer to finished goods

Finished Goods Inventory 2,490,000.00
Work in Process 2,490,000.00

3-b) Unit Cost (2,490,000 / 4,980) 500.00

488.00
24.50
0.35
512.85

500.00
200.00
120.00
180.00
 3,000.00 19,800,000.00
1,200,000.00 - 600,000.00
200.00 19,200,000.00
3,200.00 3,200.00