Question 17.2: During March, Hatch Company accumulated 800 hours of direct ...
During March, Hatch Company accumulated 800 hours of direct labor costs on Job 101 and 600 hours on Job 102. The total direct labor was incurred at a rate of $16 per direct labor hour for Job 101 and $12 per direct labor hour for Job 102. Journalize the entry to record the flow of labor costs into production during March.
Work in Process . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20,000*
Wages Payable. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20,000
*Job 101 $12,800 = 800 hrs. × $16
Job 102 7,200 = 600 hrs. × $12
Total \underline{\underline{\$ \ 20,000}}