50 P2-1A Don Tidrick Manufacturing uses a job order cost system and applies overhead to production on the basis of direct labor costs. On January 1, 2002, Job No, 50 was the vuly job in proa. The Lusts incurred prior to January 1 on this job were as fol lows: direct materials $20,000. direct labor $12,000, and manufacturing werhead $21,000. As of January 1, Job No. 49 had been completed at a cost of $90,000 and was part of finished goods inventory. There was a $15,000 balance in the Raw Materials in ventory account During the th of January, Don Tidrick Manufacturing began production on Jobs 51 and 52 and completer Tobe 50 and 51. Jobs 49 and 50 were sold on account during the month for $122,000 and $158,000, respectively. The following additional events oc- curred during the month 1. Purchased additional raw materials of $90,000 on account, 2. Incurred factory labor costs of $63,000. Of this amount $13,000 related to employer payroll taxes 3. Incurred manufacturing overhead costs as follows: indirect materials $14,000; Indt rect labor $15.000; depreciation expense 519,000, and various other manufacturing verhead costs on account $23,000. 4. Assigned direct materials and direct labor to jobs as follows Job No. Direct Materials Direct Labor $10,000 $ 6,000 5! 39,000 24,000 30,000 18,000 Instructions (a) Calculate the predetermined overhead rate for 2002, assuming Don Tidnick Mantt- facturing estimates total manufacturing overhead costs of $1,050,000, direct labor costs of $700,000, and direct labor hours of 20.000 for the year. (b) Open job cost sheets for Jobs 50, 51 and 52. Enter the January 1 balances on the job cost sheet for Job No. 50. (C) Prepare the journal entries to record the purchase of raw materials, the factory la bor costs incurred and the manufacturing overhead costs incurred during the month of January (d) Prepare the journal entries to record the assignment of direct materials, direct labor, and manufacturing overhead costs to production. In assigning manufacturing over head costs, use the overhead rate calculated in (a). Post all costs to the job cost sheets (e) Total the job cost sheets for any job(s) completed during the month. Prepare the jour- nal entry (or entries) to record the completion of any job(s) during the month. ( Prepare the journal entry for entries) to record the sale of any job(s) during the month (g) What is the balance in the Finished Goods Inventory account at the end of the month? What does this balance consist of? (h) What is the amount of over or underapplied overhead for the month? How would this be reported on the financial statements for the month of January? 52 as necessary