2 Raw materials Work in process Finished Goods 2 points Beginning Balance $ 14,400 Ending Balance $ 22,400 $9,400 $ 27,400 $ 62,400 $ 77,400 The company applies overhead to jobs using a predetermined overhead rate based on machine-hours. At the beginning of the year, the company estimated that it would work 33,400 machine-hours and incur $260,520 in manufacturing overhead cost. The following transactions were recorded for the year: Raw materials were purchased, $315,400. Raw materials were requisitioned for use in production, $307,400 ($280,600 direct and $26,800 indirect). The following employee costs were incurred: direct labor, $377,400; indirect labor, $96,400; and administrative salaries, $172,400. Selling costs, $147,400. Factory utility costs, $10,400. Depreciation for the year was $151,000 of which $135,000 is related to factory operations and $16,000 is related to selling. general, and administrative activities. Manufacturing overhead was applied to jobs. The actual level of activity for the year was 34,080 machine-hours Sales for the year totaled $1,269,000. Required: a. Prepare a schedule of cost of goods manufactured. b. Was the overhead underapplied or overapplied? By how much? c. Prepare an income statement for the year. The company closes any underapplied or overapplied overhead to Cost of Goods Sold Required B Required C Prepare a schedule of cost of goods manufactured. Baab Corporation Schedule of Cost of Goods Manufactured Direct materials: Total raw materials available 0 Total Raw materials used in production 0 Direct materials used in production Total manufacturing costs added to production Total manufacturing costs to account for Cost of goods manufactured 0 0 S Requiese A Required B > Manufacturing overhead was applied to jobs. The actual level of activity for the year was 34,080 machine-hours. Sales for the year totaled $1,269,000. Required: a. Prepare a schedule of cost of goods manufactured. b. Was the overhead underapplied or overapplied? By how much? c. Prepare an income statement for the year. The company closes any underapplied or overapplied overhead to Cost of Goods Soll Complete this question by entering your answers in the table below. Required A Required B Required C Was the overhead underapplied or overapplied? By how much? Itranscript plete this question by entering your answers in the table below. Required A Required B Required C lied or overapplied overhead to Cost of Goods Sold. Prepare an income statement for the year. The company closes any underapplied or overapplied overhead to Cost of Goods Sold. Baab Corporation Income Statement Selling and administrative expenses: 0 0