10 Part 4 of 5 1.66 points eBook Required Information [The following information applies to the questions displayed below.] Stellar Sound, Inc., which uses a job-order costing system, had two jobs in process at the start of 20x1: Job no. 64 ($84,100) and job no. 65 ($53,400). The following information is available: a. The company applies manufacturing overhead on the basis of machine hours (based on practical capacity). Budgeted overhead and machine activity for the year were anticipated to be $840,000, and 16,000 hours, respectively. b. The company worked on four jobs during the first quarter. Direct materials used, direct labor incurred, and machine hours consumed were as follows: Print References Job No. 64 Direct Material $21,000 Direct Labor $35,000 65 22,000 Machine Hours 1,200 700 66 67 44,000 15,000 65,000 8,800 2,000 500 c. Manufacturing overhead during the first quarter Included charges for depreciation ($32,800), Indirect labor ($60,200), Indirect materials used ($5,100), and other factory costs ($139,600). d. Stellar Sound completed job no. 64 and job no. 65. Job no. 65 was sold on account, producing a profit of $34,700 for the firm. 4. Did the finished-goods Inventory increase or decrease during the first quarter? By how much? (Do not round Intermediate calculations.) The finished-goods inventory increased by $ 120,000