Bergo Bay's accounting system generated the following account balances on December 31. The company's manager knows something is wrong with this list of balances because it does not show any balance for Work in Process Inventory, and the accrued factory payroll (Factory Wages Payable) has not been recorded Debit Credit Cash $ 80,000 Accounts receivable 49.000 Raw materials inventory 29,500 Work in process inventory 0 Finished goods inventory 6.000 Prepaid rent 2,000 Accounts payable $9.900 Notes payable 12,900 Common COOK 20,000 Retained earnings (prior year) 84,000 Salon 223,700 cout of goods sold 113,000 Factory overhead 26,000 General and administrative expenses 45.000 Total $350.500 $ 350,500 These six documents must be processed to bring the accounting records up to date, Materials requisition 101 Materials requisition 111 Materials requisition 12 Labor time ticket 52 Labor time ticket 53: Labor time ticket 561 54,300 direct materials to Job 402 5 7.700 direct materials to Job 404 $ 2,000 indirect materials $ 5,000 direct labor to Job 402 $ 15,000 direct labor to Job 404 $ 5,000 indirect labor Jobs 402 and 404 are the only jobs in process at year-end. The predetermined overhead rate is 100% of direct labor cost. 3. Prepare a revised list of account balances as of December 31. Hint: Use the prior year's Retained Earnings balance of 584,000. IN this list BERGO BAY COMPANY List of Account Blancos December 31 Dob Credit Cash Accounts receivable Raw materials inventory Work in process inventory Finished goods inventory Prepaid rent Accounts payable Factory wage payable Notes payable Common och Retained earnings forlorna Se Cost of goods sold Factory overhead General and administrative expenses Totats Bergo Bay's accounting system generated the following account balances on December 31. The company's manager knows something is wrong with this list of balances because it does not show any balance for Work in Process Inventory, and the accrued factory payroll (Factory Wages Payable) has not been recorded. Credit Debit $ 80,000 49,000 29,500 0 6,000 2,000 Cash Accounts receivable Raw materials inventory Work in process inventory Finished goods inventory Prepaid rent Accounts payable Notes payable Common stock Retained earnings (prior year) Sales Cost of goods sold Factory overhead General and administrative expenses Totals $ 9,900 12,900 20,000 84,000 223, 700 113,000 26,000 45,000 $ 350, 500 $ 350,500 These six documents must be processed to bring the accounting records up to date. Materials requisition 101 Materials requisition 11 Materials requisition 12 Labor time ticket 52 Labor time ticket 531 Labor ne ticket 54 $ 4,300 direct materials to Job 402 $ 7,700 direct materials to Job 404 $ 2,000 indirect materials $ 5,000 direct labor to Job 402 $ 15,000 direct labor to Job 404 $5,000 indirect labor Jobs 402 and 404 are the only jobs in process at year-end. The predetermined overhead rate is 100% of direct labor cost, 4. Prepare an income statement for the year and a balance sheet as of December 31. Hint: Retained earnings is $136,700 at the end of the current year Complete this question by entering your answers in the tabs below. Income Statement Balance Sheet Prepare an income statement BERGO BAY COMPANY Income Statement For Year Ended December 31 Balance Sheet> BERGO BAY COMPANY Balance Sheet As at December 31 Assets Inventories Total assets Liabilities Total liabilities Equity Total equity Total liabilities and equity
