Analyzing Manufacturing Cost Accounts Summer Boards Company manufactures surf boards in a wide variety of sizes and styles. The following incomplete ledger accounts refer to transactions that are summarized for May: Materials May 1 Balance 9,000 31 Purchases 40,000 31 Requisitions (A) Work in Process May 1 Balance 000 31 Materas 31 Direct laber (D) 31 factory overhead applied (E) 31. Completed jobs (F) Finished Goods May 1 Balance 0 31 Completed jobs 31 Cost of goods sold (G) Wages Payable May 31 Wages incurred 110,000 Factory Overhead May 1 Balance (3,000) 31 Indirect labor 31 Indirect materials 2,500 31. Other everhead 102,900 31 Factory overhead applied () In addition, the following information is available: a. Materials and direct labor cost were applied to six jobs in May: Job No. Style Quantity Direct Material Direct Labor No. 0521 Sx 100 $5,000 $15,000 No. 0522 $3 200 8,500 26,000 No. 0523 100 3.500 8.000 No. 0524 13 125 3,500 25,000 No. 0525 90 5,600 17,500 No. 0526 70 2,000 4.500 685 $32,100 $9,000 b. Factory overhead is applied to each job at a rate of 120% of direct labor cost. c. The May 1 Work in Process balance consisted of two jobs, as follows: Job No. Style Work in Process, May 1 Joe 0521 5 $1,500 Job 0522 53 4,000 Total $5,500