1 Raw Materials Inventory 500,000 Raw Materials

Freight in 10,000 500,000 425,000

Accounts Payable 510,000 13,100
To record purchase of raw materials

2 Work In Process 375,000

Factory Overhead 50,000
Raw Materials Inventory 425,000
To record requisition for the month

3 Raw Materials Inventory 13,100

Work In Process 5,100
Factory Overhead 8,000
To record materials return

4 Accounts Payable 84,000

Raw Materials Inventory 84,000
To record return to vendor

5 Raw Materials Inventory 50,000

Accounts Payable 50,000
To record purchase of raw materials

6 Raw Materials Inventory 105,000

Freight in 2,000
Accounts Payable 107,000

7 Work In Process 120,000

Factory Overhead 30,000
Raw Materials Inventory 150,000
To record raw materials issued to production dep
 UNITS UNIT COST AMOUNT
INVENTORY 1-Aug 5,000 2.00 10,000
P 7-Aug 6,000 2.50 15,000
S 7-Aug (9,000)
P 12-Aug 8,000 2.30 18,400
S 14-Aug (9,000)
P 15-Aug 9,000 2.25 20,250
S 21-Aug (9,000)
P 22-Aug 10,000 2.40 24,000
S 28-Aug (9,000)
P 29-Aug 10,000 2.35 23,500
12,000 111,150

FIFO-PERIODIC
Beg Bal 10,000
Purchases 101,150
Total 111,150
End Bal 28,200
Materials Issued 82,950
EOQ = √2 ( 144,000) ( 150) / 10
EOQ = √43,200,000 / 10
EOQ = 2,078.46

Frequency of order
144,000 / 2,078 = 69

Total ordering cost for the year

150 x 69 = 10,350

Reorder pointt
Lead time 5
x Average d 500 ( 144,000 / 360)
Add: Safety 5
Order poin 2,505.00

Carrying costs = 200 x 5% = 10

 RATE x4
68 6am-2pm MON TUES WED THURS FRI TOTAL weekly monthly
Tibo 8 8 8 8 4 36 2448 9792
Jason 8 8 8 8 8 40 2720 10880
71.4 2pm-10pm
Rica 8 8 8 8 8 40 2856 11424
Princess 5 8 8 8 8 37 2641.8 10567.2
78.54 10pm-6am
Bianca 8 8 8 8 8 40 3141.6 12566.4
Toni 8 8 8 8 8 40 3141.6 12566.4
16949 67796

PBB COMPANY
PAYROLL SHEET
TOTAL
GROSS PHILHEAL PAG-IBIG DEDUCTI NET PAY
NAMES WTAX SSS
EARNINGS TH
ON
Tibo 2448 0 80 33.66 48.96 162.62 2285.38
Jason 2720 0 100 37.40 54.4 191.80 2528.20
Rica 2856 0 100 39.27 57.12 196.39 2659.61
Princess 2641.8 0 100 36.32 52.836 189.16 2452.64
Bianca 3141.6 0 120 43.20 62.832 226.03 2915.57
Toni 3141.6 0 120 43.20 62.832 226.03 2915.57
620 233.05 338.98 1192.03 15756.97
Payroll 16949
SSS Payable 620
Philhealth Payable 233.05
Pag-Ibig Payable 338.98
Accrued Payroll 15756.97

Work in Process 16949

Payroll 16949

SSS Payable 620

Philhealth Payable 233.05
Pag-Ibig Payable 338.98
Accrued Payroll 15756.97
Cash 16949