04 Jan If a factory is located in one city or state and t
If a factory is located in one city or state and the general office in another, it is desirable to separate a portion of the records. (a) Name four control accounts and the subsidiary ledgers that would likely be kept at the factory. (b) How are ledgers kept in balance between the factory and the general office? (c) What entry would be made on the factory books when goods are shipped directly to a customer? Assume inventory records are maintained at the factory. (d) What entry would be made on the home office books for transaction (c) ? (e) A factory sends goods it has produced to another branch factory. What entry would be made on the producing factory's books?
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