$ 42,000 $13,600 7,450 18,000 January 1 Asseto Cash Raw materials Work in process Finished goods Prepaid expenses Property, plant, and equipment (net) Total assets Liabilities and Stockholders' Equity Accounts payable Retained earnings Total liabilities and stockholders' equity 39,050 2,150 105,000 $ 188,200 $ 16,900 171,300 $ 188,200 During January the company completed the following transactions: a. Purchased raw materials on account, $76,200. b. Raw materials used in production, $84,900 ($68,000 was direct materials and $16,900 was indirect materials). c. Pald $189,450 of salaries and wages in cash ($97,200 was direct labor, $43,200 was indirect labor, and $49,050 was related to employees responsible for selling and administration) d. Various manufacturing overhead costs incurred (on account) to support production, $46,650. e. Depreciation recorded on property, plant, and equipment, $56,000 (70% related to manufacturing equipment and 30% related to assets that support selling and administration). f. Various selling expenses paid in cash, $39,050. g. Prepaid Insurance expired during the month, $1,300 (80% related to production, and 20% related to selling and administration). h. Manufacturing overhead applied to production, $140,400. Cost of goods manufactured, $303,800. Cash sales to customers, $416,840 k. Cost of goods sold (unadjusted). $300,600. I Cash payments to creditors, $62,000. m. Underapplied or overapplied overhead $? Required: 1. Calculate the ending balances that would be reported on the company's balance sheet on January 31 (Hint: Be sure to calculate the underapplied or overapplied overhead and then account for its affect on the balance sheet.) 2. What is Morrison Company's net operating income for the month of January? Prev 1 of 1 Next Required 1 Required 2 Calculate the ending balances that would be reported on the company's balance sheet on January 31" (Hint: Be sure to calculate the underapplied or overapplied on account for its affect on the balance sheet.) (Amounts to be deducted should be indicated by a minus sign.) Morrison Company Transaction Analysis For the Month Ended Jaunary 31 Work in Finished Manufacturing Process Goods Overhead $ 7450 $ 1 000 $ 0 Cash a n Raw Materials $ 13.600 Prepaid P Expenses $ 2150 Accounts Accounts Payable $ 16000 Retained Earnings 171 300 $ 42.000 105.000 - Transactions Beginning balances 1/1 (a) Raw material purchases b) Raw materials used in production (c) Salaries and wages (d) Various overhead costs (e) Depreciation ( Various soling expenses Expiration of prepaid insurance On) Manufacturing overhead applied 6 Coul of goods manufactured Sales (k) cost of goods sold Payments to creditors | mil Ending balances 1/31 0.000 Red 2 > Complete this question by entering your answers in the tabs below. Required 1 Required 2 ***** ********* ** * **** **** What is Morrison Company's net operating income for the month of January? Net operating income
