Analyzing Manufacturing Cost Accounts Big Wave Company manufactures surf boards in a wide variety of sizes and styles. The following incomplete ledger accounts refer to transactions that are summarized for July: Materials July 1 Balance Requisitions 29.2001uly 31 113,200 July 31 Purchases Work in Process (Biluly 31 Completed Jobs July 1 July 31 July 31 July 31 Balance Materials Direct labor Factory overhead applied Finished Goods olJuly 31 Cost of goods sold July 1 July 31 Balance Completed jobs Wages Payable July 31 Wages incurred 122,500 Factory Overhead 22,900uly 31 Factory overhead applied July 1 July 31 July 31 July 31 Balance Indirect labor Indirect materials Other overhead 15,100 108,300 In addition, the following information is available: a. Materials and direct labor were applied to six jobs in July: Quantity Style X-10 X-20 Job No. No. 21 No. 22 No. 23 No. 24 No. 25 No. 26 X-50 Direct Materials $19,500 32,530 12,660 29,640 19,980 6,030 Direct Labor $15,000 28,000 9,000 26,000 16,000 4,000 260 T-20 X-40 T-10 110 Total 1,390 $120,440 $98,000 b. Factory overhead is applied to each job at a rate of 170% of direct labor cost. C. The July 1 Work in Process balance consisted of two jobs, as follows: Job No. Style Work in Process, July 1 Job 21 Job 22 X-10 X- 20 $5,900 7,000 1 Total $22,900 d. Customer jobs completed and units sold in July were as follows: Job No. Style Completed in July Units Sold in July 160 No. 21 X-10 No. 22 X-20 No. 23 X-50 No. 24 T-20 No. 25 X-40 No. 26 T-10 Job No. Quantity Direct Materials Direct Labor Factory Overhead Total Cost Unit Cost Units Sold cost of Goods Sold July 1 Work in Process $5.900 17,000 $ 19,600 32,530 12,660 29,640 19,980 6,030 120,440 $ 15,000 28,000 9,000 26,000 16,000 D $22,900 98,000 $ a. Materials Requisitions b. Work in Process Beginning balances c. Direct Materials d. Direct Labor e Factory overhead applied 1. Completed Jobs 9. Cost of goods sold h. Indirect labor 2. Determine the July 31 balances for each of the inventory accounts and factory overhead. Use the minus sign to indicate any credit balances Materials Work in Process: Finished Goods: Factory Overhead