Brooks Corporation uses a job-order costing system to apply manufacturing costs to jobs. The company closes its underapplied on overapplied overhead to cost of goods sold. Its balance sheet on March 1 is as follows: $ 88,000 Brooks Corporation Balance Sheet March 1 Assets Cash Raw materials Work in process Finished goods Prepaid expenses Property, plant, and equipment (not) Total assets Liabilities and Stockholders' Equity Accounts payable Retained earnings Total liabilities and stockholders' equity $27,500 17,600 30,880 75,980 2,080 226,000 $ 391,900 $ 21,500 370.400 $ 391, 909 During March the company completed the following transactions a. Purchased raw materials for cash. $79,000. b. Raw materials used in production, $84,000 ($71,200 was direct materials and $12.800 was indirect materials). c. Pald $200,950 of salaries and wages in cash ($102,750 was direct labor. $42,600 was indirect labor and $55,600 was related to employees responsible for selling and administration) d. Various manufacturing overhead costs paid in cash to support production, $51,800 e. Depreciation recorded on property, plant, and equipment, $45.200 (85% related to manufacturing equipment and 15% related to assets that support selling and administration), 1. Various selling expenses incurred on account, $39,800. 9. Prepaid Insurance expired during the month. $500 (60% related to production, and 40% related to selling and administration). a. Purchased raw materials for cash. $79.000. b. Raw materials used in production, $84,000 ($71.200 was direct materials and $12,800 was indirect materials). c. Paid $200,950 of salaries and wages in cash ($102.750 was direct labor. $42,600 was indirect labor, and $55,600 was related to employees responsible for selling and administration). d. Various manufacturing overhead costs paid in cash to support production, $51,800 e. Depreciation recorded on property, plant, and equipment, 545.200 (85% related to manufacturing equipment and 15% related to assets that support selling and administration) Various selling expenses incurred on account $39,800. 9. Prepaid insurance expired during the month, $500 (60% related to production and 40% related to selling and administration). h. Manufacturing overhead applied to production, $142,825. Cost of goods manufactured, $_? (Hint: The Work in Process balance on March 31st is $5,400.) J. Cash sales to customers, $556,000. k. Cost of goods sold (unadjusted), S. 2 (Hint: The Finished Goods balance at March 31st is $6,250.) Cash payments to creditors, $42,600. m. Underapplied or overapplied overhead $ 2 Required: 1. Calculate the ending balances that would be reported on the company's balance sheet at March 3151 (Hint: Be sure to calculate the underapplied or overapplied overhead and then account for its effect on the balance sheet.) 2. Prepare Brooks Corporation's schedule of cost of goods manufactured for the month ended March 31st 3. Prepare Brooks Corporation's schedule of cost of goods sold for the month ended March 3151 4. Prepare Brooks Corporation's income statement for the month ended March 31st Calculate the ending balances that would be reported on the company's balance sheet at Match 318 Hint Be sure to calculate the under applied ar over applied overhead and then a Brooks Corporation Transaction Analysis For the Month Ended March 31 Raw Materials Work in Finished Manufacturing Process Goods Overhead Expenses 27.500 5 17 000 30.000 5 OS 2,000 Transactions Cash PPLE Inet 22000 Account Retained Payable Earning $ 21.500 5 370400 5 38.000 Beanning balances 31 Raw material purchases (0) Rowed in production 00 Sales and was idious machung verhoof costs ay Oreciation sing experts option pource Multuring hos pued Com of good mancare Gle Da Costoso me Ending bulances