Crawford corporation incurred the following transactions. 1. purchased raw materials on account $46,300. 2. raw materials of $36,000 were requisitioned to the factory. an analysis of the materials requisition slips indicated that $6,800 was classifi ed as indirect materials. prepare entries for manufacturing and nonmanufacturing costs. (lo 1, 2, 3, 4), ap job cost sheet job no. 469 quantity 2,500 item white lion cages date requested 7/2 for todd company date completed 7/31 direct direct manufacturing date materials labor overhead 7/10 700 12 900 15 440 550 22 380 475 24 1,600 27 1,500 31 540 675 cost of completed job: direct materials direct labor manufacturing overhead total cost unit cost exercises 79 3. factory labor costs incurred were $59,900, of which $51,000 pertained to factory wages payable and $8,900 pertained to employer payroll taxes payable. 4. time tickets indicated that $54,000 was direct labor and $5,900 was indirect labor. 5. manufacturing overhead costs incurred on account were $80,500. 6. depreciation on the company’s offi ce building was $8,100. 7. manufacturing overhead was applied at the rate of 150% of direct labor cost. 8. goods costing $88,000 were completed and transferred to fi nished goods. 9. finished goods costing $75,000 to manufacture were sold on account for $103,000. instructions journalize the transactions. (omit explanations.)

Blue computers, a major pc manufacturer in the united states, currently has plants in kentucky and pennsylvania. the kentucky plant has a capacity of 1 million units a year and the pennsylvania plant has a capacity of 1.5 million units a year. the firm divides the united states into five markets: northeast, southeast, midwest, south, and west. each pc sells for $1,000. the firm anticipates a 50 perc~nt growth in demand (in each region) this year (after which demand will stabilize) and wants to build a plant with a capacity of 1.5 million units per year to accommodate the growth. potential sites being considered are in north carolina and california. currently the firm pays federal, state, and local taxes on the income from each plant. federal taxes are 20 percent of income, and all state and local taxes are 7 percent of income in each state. north carolina has offered to reduce taxes for the next 10 years from 7 percent to 2 percent. blue computers would like to take the tax break into consideration when planning its network. consider income over the next 10 years in your analysis. assume that all costs remain unchanged over the 10 years. use a discount factor of 0.1 for your analysis. annual fixed costs, production and shipping costs per unit, and current regional demand (before the 50 percent growth) are shown in table 5-13. (a) if blue computers sets an objective of minimizing total fixed and variable costs, where should they build the new plant? how should the network be structured? (b) if blue computers sets an objective of maximizing after-tax profits, where should they build the new plant? how should the network be structured? variable production and shipping cost ($/unit) annual fixed cost northeast southeast midwest south west (million$) kentucky 185 180 175 175 200 150 pennsylvania 170 190 180 200 220 200 n. carolina 180 180 185 185 215 150 california 220 220 195 195 175 150 demand ('000 units/month) 700 400 400 300 600