ADMN3021 Lab # 02 (Ch. 4-6) 28 Seved 2 Ravsten Company uses a job-order costing system. On January 1, the beginning of the current year, the company's inventory balances were as follows: points eBook References Raw materials Work in process Finished goods $22,000 $12,400 $31,200 The company applies overhead cost to jobs on the basis of machine-hours. For the current year, the company estimated that it would work 37,200 machine-hours and incur $152,520 in manufacturing overhead cost. The following transactions were recorded for the year: a. Raw materials were purchased on account: $224,000. b. Raw materials were requisitioned for use in production: $202,000 (85% direct and 15% indirect). c. The following costs were incurred for employee services: Direct labour Indirect labour Sales commissions $169,600 $ 29,400 $ 39,600 Administrative salaries $ 84,800 d. Heat, power, and water costs were incurred in the factory: $47,400. e. Prepaid insurance expired during the year: $16,000 (80% relates to factory operations, and 20% relates to selling and administrative activities). f. Advertising costs were incurred, $56,000. g. Depreciation was recorded for the year: $67,200 (75% relates to factory operations, and 25% relates to selling and administrative Help Save & Exit Submit Check my work