b. Record the entry to close the amount of underapplied or overapplied manufacturing overhead to Cost of Goods Sold (in the expense category) in the horizontal financial statements model. e. Determine the gross margin for March. LO 12 Exerdse 12-7B Job-order costing in a service company Tripoli Consulting provides financial and estate planning services on a retainer basis for the executive officers of its corporate clients. It incurred the following labor costs on services for three corporate clients during March 2018: Direct Labor Contract 1 Contract 2 Contract 3 Total $ 9,000 3,600 14,400 $27.000 Tripoli allocated March overhead costs of $13.500 to the contracts based on the amount of direct labor costs incurred on each contract. Required a. Assuming the revenue from Contract was $40.000. what amount of income did Tripoli earn from this contract? Based on the preceding information will Tripoli report finished goods inventory on its balance sheet for Contract 1? If so, what is the amou is inventory? If not, explain why not. Exercise 12-8B Determine missing information for a job order