my project 460984

fIGLEAF.COM

POST-CLOSING TRIAL BALANCE

MAY 31, 2005

CASH 475,000

ACCOUNTS RECEIVABLE 75,000

ALLOW FOR UNCOLLECTIBLE ACCTS 5,000

NOTES RECEIVABLE 200,000

RAW MATERIALS 50,000

WORK IN PROCESS, PEGASUS 25,000

WORK IN PROCESS, CERBERUS 65,000

WORK IN PROCESS, ACHILLES 10,000

FINISHED GOODS 75,000

MOLDING MACHINES 1,000,000

ACCUMULATED DEP(100K/YEAR) 491,667

OFFICE FURNITURE/EQUIPMENT 75,000

ACCUMULATED DEP(5K/YEAR) 14,583

PATENTS 25,000

ACCOUNTS PAYABLE 125,000

NOTES PAYABLE 25,000

COMMON STOCK 600,000

RETAINED EARNINGS 813,750

TOTALS $2,075,000 $2,075,000

TRANSACTIONS FOR THE MONTH OF JUNE:

1) PURCHASED RAW MATERIALS (CEMENT, DYES, STONES) TOTALING $350,000.

2) REQUISITIONED INTO PRODUCTION IN MONTH OF JUNE: $350,000.

3) 2 JOBS FINISHED IN JUNE:

A) PRODUCTION OF 400 PEGASUS STATUES (PRICE: $750/EACH) COSTS:

1) RAW MATERIALS USED: $125,000 IN RAW MATERIALS.

2) DIRECT LABOR COSTS: ACTUAL HOURS WORKED ON THIS JOB: 1900. AVERAGE COST PER HOUR: $20

3. OVERHEAD: THE COMPANY USES A PREDETERMINED OVERHEAD RATE BASED ON DIRECT LABOR HOURS CALCULATED AT THE BEGINNING OF THE FISCAL YEAR. THE TOTAL OVERHEAD ESTIMATED AT THE BEGINNING OF THE YEAR WAS $2,000,000. THE COMPANY ESTIMATED IT WOULD USE 50,000 HOURS OF DIRECT LABOR FOR YEAR.

YOU WILL NEED TO A) PREPARE THE JOURNAL ENTRIES TO RECORD THE TRANSACTIONS FOR THE MONTH INCLUDING THE FLOW OF INVENTORY AND APPLIED OVERHEAD.