15 Part 15 of 15 Required Information [The following Information applies to the questions displayed below.] Bunnell Corporation is a manufacturer that uses job-order costing. On January 1, the company's Inventory balances were as follows: 3 points eBook Print References Raw materials $ 59,500 Work in process $ 37,600 Finished goods $ 61,800 The company applies overhead cost to jobs on the basis of direct labor-hours. For the current year, the company's predetermined overhead rate of $14.25 per direct labor-hour was based on a cost formula that estimated $570,000 of total manufacturing overhead for an estimated activity level of 40,000 direct labor-hours. The following transactions were recorded for the year. a. Raw materials were purchased on account, $634,000. b. Raw materials use in production, $598,400. All of of the raw materials were used as direct materials. c. The following costs were accrued for employee services: direct labor, $520,000; Indirect labor, $150,000: selling and administrative salaries, $337,000. d. Incurred various selling and administrative expenses (e.g., advertising, sales travel costs, and finished goods warehousing). $461,000. e. Incurred various manufacturing overhead costs (e.g., depreciation, Insurance, and utilities), $420,000. f. Manufacturing overhead cost was applied to production. The company actually worked 41,000 direct labor-hours on all Jobs during the year. g. Jobs costing $1,645,750 to manufacture according to their job cost sheets were completed during the year h. Jobs were sold on account to customers during the year for a total of $3,360,000. The Jobs cost $1,655,750 to manufacture according to their job cost sheets. 15. What is the net operating Income for the year? Net operating income