For the year ended December 31, 2010, the job cost sheets of DeVoe Company contained the following data.

Other data:1. Raw materials inventory totaled $15,000 on January 1. During the year, $140,000 of raw materials were purchased on account.2. Finished goods on January 1 consisted of Job No. 7638 for $87,000 and Job No. 7639 for $92,000.3. Job No. 7640 and Job No. 7641 were completed during the year.4. Job Nos. 7638, 7639, and 7641 were sold on account for $530,000.5. Manufacturing overhead incurred on account totaled $120,000.6. Other manufacturing overhead consisted of indirect materials $14,000, indirect labor $20,000, and depreciation on factory machinery $8,000.Instructions(a) Prove the agreement of Work in Process Inventory with job cost sheets pertaining to unfinished work. Use a single T account for Work in Process Inventory. Calculate each of the following, then post each to the T account: (1) beginning balance, (2) direct materials, (3) direct labor, (4) manufacturing overhead, and (5) completed jobs.(b) Prepare the adjusting entry for manufacturing overhead, assuming the balance is allocated entirely to Cost of Goods Sold.(c) Determine the gross profit to be reported for2010.

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Direct Materials Manufacturing Overhead Job Number Total Costs $ 77,800 Direct Labor $24,000 Explanation Balance 1/1 Current year's costs Balance 1/1 Current year's costs Current year's costs $25,000 30,000 11,000 43,000 48,000 $28,800 43,200 21,600 57,600 66,000 7640 36,000 18,000 109,200 7641 50,600 148,600 48,000 55,000 169,000 7642