4-41 General ledger relationships, under- and overallocation. (S. Sridhar, adapted) Walworth Company uses normal costing in its job-costing system. Partially completed T-accounts and additional information for Walworth for 2020 are as follows: ampre Direct Materials Control yer, and Work-in-Process Control 1-1-2020 44,000 233,000 1-1-2020 43,000 to sojust t 140,000 Dir. manuf. erhead Finished Goods Control 1-1-2020 11,000 667,800 923,920 labor 354,000 Manufacturing Overhead Control Manufacturing Overhead Allocated Cost of Goods Sold 509,000 Additional information: OM b a. Direct manufacturing labor wage rate was $12 per hour. b. Manufacturing overhead was allocated at $16 per direct manufacturing labor-hour. c. During the year, sales revenues were $1,080,000, and marketing and distribution costs were $129,000. 1. What was the amount of direct materials issued to production during 2020? 2. What was the amount of manufacturing overhead allocated to jobs during 2020? 3. What was the total cost of jobs completed during 2020? tnuoma Istot en s 4. What was the balance of work-in-process inventory on December 31, 2020? rises 5. What was the cost of goods sold before proration of under- or overallocated overhead? 6. What was the under- or overallocated manufacturing overhead in 2020? 7. Adjust for the under- or overallocated manufacturing overhead using the following: a. Write-off to Cost of Goods Sold b. Proration based on ending balances (before proration) in Work-in-Process Control, Finished Goods Control, and Cost of Goods Sold 8. Using each of the approaches in requirement 7, calculate Walworth's operating income for 2020. 9. Which approach in requirement 7 do you recommend Walworth use? Explain your answer briefly. fishing flier uses normal-costing