5. Gagarin Corp.'s cost accountant thinks that machine hours are the best activity base for applying its factory overhead. The estimate of annual factory overhead costs for all its jobs is $265,000. The company used 360 machine hours for Job # 61. The expected machine hours for the year totaled 18,000 machine hours. a) Calculate Gagarin's Predetermined Factory Overhead Rate. b) Calculate the estimated factory overhead cost applied to Job # 61. 6. The balance in the finished goods inventory account was $125,000 at the end of the year. Net Income reported on the income statement for the year was $205,000, and there was a loss on an equipment disposal transaction of $25,000. If there are no other adjustments to net income, and the cash flow from operating activities on the statement of cash flows is $145,000, calculate the beginning balance in finished goods inventory. 7. A manufacturing company applies factory overhead cost based on a percentage of direct labor costs. At the beginning of the year, it estimated that factory overhead costs would be $288,000 and direct labor costs would be $240,000. Actual factory overhead costs incurred for the year were $300,000, and actual direct labor cost was $245,000. Calculate the amount of over-applied or under- applied factory overhead cost at the end of the year. 8. On December 31, 2019, Heisenberg Industries' partially completed jobs cost $38,000. At the beginning of 2019, partially completed jobs cost $48,000. During the year 2019, the product (DM, DL & FO) costs incurred to complete all jobs was $240,000. If 2019 beginning finished goods inventory was $6,000 and ending finished goods inventory in 2019 was $20,000, calculate the cost of goods sold for the year ended December 31, 2019