1-prepare journal entries to record the preceding transactions
2-post your entires to t-accounts. Don't forget to enter the beginning, inventory balance above.
3-prepare a schedule of cost of goods manufactured
4A-prepare a journal entry to close any balance in the manufacturing overhead account to cost of goods sold
4B-prepare a schedule of cost of goods sold
5-prepare an income statement
Complete this question by entering your answers in the tabs below. Prepare a schedule of cost of goods sold. \begin{tabular}{|l|l|l|} \hline \multicolumn{2}{|c|}{ Salos } \\ \hline Beginning Balance & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline \end{tabular} \begin{tabular}{|l|l|l|} \hline \multicolumn{3}{|c|}{ Cost of Goods Sold } \\ \hline Beginning Balance & & \\ \hline & & \\ \hline \end{tabular} \begin{tabular}{|l|l|l|l|} \hline \multicolumn{2}{|c|}{ Work in Proctss } \\ \hline Beginning Balance & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline \end{tabular} Froya Fabrikker A/S of Bergen, Norway, manufactures specialty heavy equipment for use in North Sea oil fields. The company uses a job-order costing system that applies manufacturing overhead cost to jobs based on direct labor-hours. Its predetermined overhead rate was based on a cost formula that estimated $395,600 of manufacturing overhead for an estimated allocation base of 920 direct labor-hours. The following transactions occurred during the year: a. Raw materials purchased on account, $290,000. b. Raw materials used in production (all direct materials), $275,000. c. Utility blils incurred on account, $77,000 (90\% related to factory operations, and the remainder related to selling and administrative activities). d. Accrued salary and wage costs: e. Maintenance costs incurred on account in the factory, $72,000 f. Advertising costs incurred on account, $154,000. 9. Depreciation recorded for the year, $90,000 (75\% related to factory equipment, and the remainder related to selling and administrative equipment). h. Rental cost incurred on account, $115,000 ( 80% related to factory facilities, and the remainder related to selling and administrative faclities). 1. Manufacturing overhead cost applied to jobs, \$? 1. Cost of goods manufactured, $950,000. k. Sales for the year (all on account) totaled $2,100,000. These goods cost $980,000 according to their job cost sheets. The beginning balances in the inventory accounts were: Required: 1. Prepare journal entries to record the preceding transactions. 2. Post your entries to T-accounts. (Don't forget to enter the beginning inventory balances above.) 3. Prepare a schedule of cost of goods manufactured. 4A. Prepare a journal entry to close any balance in the Manufacturing Overhead account to Cost of Goods Sold. 48. Prepare a schedule of cost of goods sold. 5. Prepare an income statement. Accumulated Depreciation Salarles 8 Wages Payable Debit Credit Beginning Balance 11 The sales for the year (all on account) totaled $2,100,000. 12 The goods cost $980,000 according to their job cost sheets. Prepare a journal entry to close any balance in the Manufacturing Overhead accounc to cost birst account field. Notes: If no entry is required for a transaction/event, select "No journal entry required" in the first Journal entry worksheet Record the entry to close any balance in the manufacturing overhead account to cost of goods sold. Note: Enter debits before credits Prepare journal entries to record the preceaing transactions. Notes: If no entry is required for a transaction/event, select "No journal entry 6 The advertising costs were incurred on account, $154,000. 7 The depreciation was recorded for the year, $90,000 ( 75% related to factory equipment, and the remainder related to selling and administrative equipment). 8 The entry for rental cost incurred on account on buildings, $115,000 ( 80% related to factory facilities, and the remainder related to selling and administrative facilities). 9 The entry for manufacturing overhead cost applied to jobs. 10 The cost of goods manufactured for the year, $950,000. Prepare a schedule of cost of goods manufactured. Prepare an income statement. Prepare journal entries to record the preceding transactions. Notes: If no entry is required for a transaction/event, select "No journal entry required" in the first acco 1 The raw materials were purchased for use in production, $290,000 on account. 2 The raw materials used in production (all direct materials), $275,000. 3 The utility bills were incurred on account, $77,000 ( 90% related to factory operations, and the remainder related to selling and administrative activities). 4 The salary and wage costs accrued were $320,000 (Direct labor), $108,000 (Indirect labor), $200,000 (Selling and administrative salaries). 5 The maintenance costs were incurred on account in the factory, $72,000
