3. Raw materials purchased on account, $280,000 b. Raw materials used in production (all direct materials), $265,000 c. Utilify bilis incurred on account, $75,000 (80\% related to factory operations, and the remainder rolated to selling and administrative activities). d. Accrued salary and wage costs: e. Maintenance costs incurred on account in the factory, $70,000 f. Advertising costs incurred on account. $152,000. 9. Depreciation was recorded for the year, $88,000 ( 85% related to factory equipment, and the remainder related to seling and administrative equipment). h. Rental cost incurred on account, $113,000(90% related to factory faclities, and the remainder related to selling and administrative facilities). 1. Manufacturing overhead cost was applied to jobs, \$ ? 1. Cost of goods manufactured for the year, $930,000. k. Sales for the year (all on account) totaled $2,000,000, These goods cost $960,000 according to their job cost sheets. The balances in the inventory accounts at the beginning of the year 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 for the year. Froya Fabrikker A/S of Bergen, Norway, is a small company that 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 on the basis of direct laborhours. Its prodetermined overhead rate was based on a cost formula that estimated $399,000 of manufacturing overhead for an estimated allocation base of 1,050 direct labor-hours. The following transactions took place during the year: a. Raw materials purchased on account, $280,000. b. Raw materials used in production (all direct materials), $265,000, c. Utility bills incurred on account, $75,000 ( 80% 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, $70,000 f. Advertising costs incurred on account, $152,000. 9. Depreciation was recorded for the year, $88,000 (85\%, reloted to factory equipment, and the remainder reloted to selling and administrative equipment). h. Rental cost incurred on account, $113,000(90% related to factory focilities, and the remainder related to selling and administrative focilities). 1. Manufacturing overhead cost was applled to jobs, \$ ? 1. Cost of goods manufactured for the year, $930,000. k. Sales for the year (all on account) totaled $2,000,000. These goods cost $960,000 according to their job cost sheets. 3. Raw materials purchased on account, $280,000 b. Raw materials used in production (all direct materials), $265,000 c. Utilify bilis incurred on account, $75,000 (80\% related to factory operations, and the remainder rolated to selling and administrative activities). d. Accrued salary and wage costs: e. Maintenance costs incurred on account in the factory, $70,000 f. Advertising costs incurred on account. $152,000. 9. Depreciation was recorded for the year, $88,000 ( 85% related to factory equipment, and the remainder related to seling and administrative equipment). h. Rental cost incurred on account, $113,000(90% related to factory faclities, and the remainder related to selling and administrative facilities). 1. Manufacturing overhead cost was applied to jobs, \$ ? 1. Cost of goods manufactured for the year, $930,000. k. Sales for the year (all on account) totaled $2,000,000, These goods cost $960,000 according to their job cost sheets. The balances in the inventory accounts at the beginning of the year 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 for the year. The balances in the inventory accounts at the beginning of the year 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. 4B. Prepare a schedule of cost of goods sold. 5. Prepare an income statement for the year. 3. Raw materials purchased on account, $280,000 b. Raw materials used in production (all direct materials), $265,000 c. Utilify bilis incurred on account, $75,000 (80\% related to factory operations, and the remainder rolated to selling and administrative activities). d. Accrued salary and wage costs: e. Maintenance costs incurred on account in the factory, $70,000 f. Advertising costs incurred on account. $152,000. 9. Depreciation was recorded for the year, $88,000 ( 85% related to factory equipment, and the remainder related to seling and administrative equipment). h. Rental cost incurred on account, $113,000(90% related to factory faclities, and the remainder related to selling and administrative facilities). 1. Manufacturing overhead cost was applied to jobs, \$ ? 1. Cost of goods manufactured for the year, $930,000. k. Sales for the year (all on account) totaled $2,000,000, These goods cost $960,000 according to their job cost sheets. The balances in the inventory accounts at the beginning of the year 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 for the year. The balances in the inventory accounts at the beginning of the year 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. 4B. Prepare a schedule of cost of goods sold. 5. Prepare an income statement for the year. The balances in the inventory accounts at the beginning of the year 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. 4B. Prepare a schedule of cost of goods sold. 5. Prepare an income statement for the year. Froya Fabrikker A/S of Bergen, Norway, is a small company that manufactures specialty heavy equipment for use in North Sea oll fields. The company uses a job-order costing system that applies manufacturing overhead cost to jobs on the basis of direct laborhours. Its predetermined overhead rate was based on a cost formula that estimated $399,000 of manufacturing overhead for an estimated allocation base of 1,050 direct labor-hours. The following transactions took place during the year: a. Raw materials purchased on account, $280,000. b. Raw materials used in production (all direct materials), $265,000. c. Utility bills incurred on account, $75,000 ( 80% 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, $70,000 f. Advertising costs incurrd on account, $152,000. 9. Depreciation was recorded for the year, $88,000 ( 85% related to factory equipment, and the remainder related to selling and administrative equipment). h. Rental cost incurred on occount, $113,000(90% related to factory facilities, and the remainder related to selling and administrative facilities). 1. Manufacturing overhead cost was applied to Jobs, \$ ? ? 1. Cost of goods manufactured for the year, $930,000. k. Sales for the year (all on account) totaled $2,000,000. These goods cost $960,000 according to their job cost sheets. Froya Fabrikker A/S of Bergen, Norway, is a small company that 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 on the basis of direct laborhours. Its prodetermined overhead rate was based on a cost formula that estimated $399,000 of manufacturing overhead for an estimated allocation base of 1,050 direct labor-hours. The following transactions took place during the year: a. Raw materials purchased on account, $280,000. b. Raw materials used in production (all direct materials), $265,000, c. Utility bills incurred on account, $75,000 ( 80% 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, $70,000 f. Advertising costs incurred on account, $152,000. 9. Depreciation was recorded for the year, $88,000 (85\%, reloted to factory equipment, and the remainder reloted to selling and administrative equipment). h. Rental cost incurred on account, $113,000(90% related to factory focilities, and the remainder related to selling and administrative focilities). 1. Manufacturing overhead cost was applled to jobs, \$ ? 1. Cost of goods manufactured for the year, $930,000. k. Sales for the year (all on account) totaled $2,000,000. These goods cost $960,000 according to their job cost sheets
