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Bunnell Corporation is a manufacturer that uses job-order costing. On January 1, the company's inventory balances were as follows: Raw materials Work in process Finished

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Bunnell Corporation is a manufacturer that uses job-order costing. On January 1, the company's inventory balances were as follows: Raw materials Work in process Finished goods $ 75,500 $ 19,600 $ 59,400 The company applies overhead cost to jobs on the basis of direct labor-hours. For the current year, the company's predetermined overhead rate of $14.00 per direct labor-hour was based on a cost formula that estimated $560,000 of total manufacturing overhead for an estimated activity level of 40,000 direct labor-hours. The following transactions were recorded for the year a. Raw materials were purchased on account, $606,000. b. Raw materials used in production, $561,200. All of of the raw materials were used as direct materials. c. The following costs were accrued for employee services: direct labor, $510,000; indirect labor, $150,000; selling and administrative salaries, $257,000. d. Incurred various selling and administrative expenses (e.g., advertising, sales travel costs, and finished goods e. Incurred various manufacturing overhead costs (e.g., depreciation, insurance, and utilities), $410,000 1. Manufacturing overhead cost was applied to production. The company actually worked 41,000 direct labor-hours on all jobs during the year. 9. Jobs costing $1,558,300 to manufacture according to their job cost sheets were completed during the year h. Jobs were sold on account to customers during the year for a total of $3,075,000. The jobs cost $1,568,300 to manufacture according to their job cost sheets. Foundational 3-10 10. What is the cost of goods available for sale during the year? Cost of goods available for sale $75,500 Raw materials Work in process Finished goods $19,600 $59,400 The company applies overhead cost to jobs on the basis of direct labor-hours. For the current year, the company's predetermined overhead rate of $14.00 per direct labor-hour was based on a cost formula that estimated $560,000 of total manufacturing overhead for an estimated activity level of 40,000 direct labor- hours. The following transactions were recorded for the year. a. Raw materials were purchased on account $606,000. b. Raw materials used in production, $561,200. All of of the raw materials were used as direct materials. c. The following costs were accrued for employee services: direct labor, $510,000; indirect labor. $150,000; selling and administrative salaries, $257,000. d. Incurred various selling and administrative expenses (e.g. advertising, sales travel costs, and finished goods warehousing). $382.000. e. Incurred various manufacturing overhead costs (e.g., depreciation insurance, and utilities). $410,000. f Manufacturing overhead cost was applied to production. The company actually worked 41000 direct labor-hours on all jobs during the year. 9. Jobs costing $1.558,300 to manufacture according to their job cost sheets were completed during the year. h. Jobs were sold on account to customers during the year for a total of $3,075,000. The jobs cost $1,568,300 to manufacture according to their job cost sheets. Foundational 3-11 11. What is the journal entry to record the cost of goods sold referred to in item h above? (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 1 Record the cost of goods sold to the customer. Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry View general journal Closten Bunnell Corporation is a manufacturer that uses job-order costing. On January 1, the company's inventory balances were as follows: Raw materials $ 75,500 Work in process $ 19,600 Finished goods $ 59,400 The company applies overhead cost to jobs on the basis of direct labor-hours. For the current year, the company's predetermined overhead rate of $14.00 per direct labor-hour was based on a cost formula that estimated $560,000 of total manufacturing overhead for an estimated activity level of 40,000 direct labor-hours. The following transactions were recorded for the year: a. Raw materials were purchased on account, $606,000. b. Raw materials used in production, $561,200. All of of the raw materials were used as direct materials. c. The following costs were accrued for employee services: direct labor, $510,000; indirect labor, $150,000; selling and administrative salaries, $257,000. d. Incurred various selling and administrative expenses (e.g., advertising, sales travel costs, and finished goods warehousing). $382,000. e. Incurred various manufacturing overhead costs (e.g. depreciation, insurance, and utilities). $410,000. f. Manufacturing overhead cost was applied to production. The company actually worked 41,000 direct labor-hours on all jobs during the year. g. Jobs costing $1.558,300 to manufacture according to their job cost sheets were completed during the year. h. Jobs were sold on account to customers during the year for a total of $3,075,000. The jobs cost $1,568,300 to manufacture according to their job cost sheets. Foundational 3-12 12. What is the ending balance in Finished Goods? Finished Goods Beg. Bal End. Bal 0 0 Bunnell Corporation is a manufacturer that uses job-order costing. On January 1, the company's inventory balances were as follows: Raw materials Work in process Finished goods $ 75,500 $ 19,600 $ 59,400 The company applies overhead cost to jobs on the basis of direct labor-hours. For the current year, the company's predetermined overhead rate of $14.00 per direct labor-hour was based on a cost formula that estimated $560,000 of total manufacturing overhead for an estimated activity level of 40,000 direct labor-hours. The following transactions were recorded for the year: a. Raw materials were purchased on account, $606000 b. Raw materials used in production, $561,200. All of of the raw materials were used as direct materials. c. The following costs were accrued for employee services: direct labor. $510,000 indirect labor. $150,000; selling and administrative salaries, $257,000. d. Incurred various selling and administrative expenses (eg., advertising, sales travel costs, and finished goods warehousing). $382,000. e. Incurred various manufacturing overhead costs (eg.. depreciation, insurance, and utilities). $410,000. f. Manufacturing overhead cost was applied to production. The company actually worked 41,000 direct labor-hours on all jobs during the year. 9. Jobs costing $1.558,300 to manufacture according to their job cost sheets were completed during the year. h. Jobs were sold on account to customers during the year for a total of $3,075,000. The jobs cost $1,568,300 to manufacture according to their job cost sheets. Foundational 3-13 13. Assuming that the company closes its underapplied or overapplied overhead to cost of Goods Sold, what is the adjusted cost of goods sold for the year? Adjusted cost of goods sold Bunnell Corporation is a manufacturer that uses job-order costing. On January 1, the company's inventory balances were as follows: Raw materials Work in process Finished goods $ 75,500 $ 19,600 $ 59,400 The company applies overhead cost to jobs on the basis of direct labor-hours. For the current year, the company's predetermined overhead rate of $14.00 per direct labor-hour was based on a cost formula that estimated $560,000 of total manufacturing overhead for an estimated activity level of 40,000 direct labor-hours. The following transactions were recorded for the year: a. Raw materials were purchased on account, $606,000. b. Raw materials used in production, $561,200. All of of the raw materials were used as direct materials. c. The following costs were accrued for employee services: direct labor, $510,000; indirect labor, $150,000; selling and administrative salaries, $257,000. d. Incurred various selling and administrative expenses (eg, advertising, sales travel costs, and finished goods warehousing). $382,000. e. Incurred various manufacturing overhead costs (e.g. depreciation, insurance, and utilities). $410,000. f. Manufacturing overhead cost was applied to production. The company actually worked 41,000 direct labor-hours on all jobs during the year. 9. Jobs costing $1.558,300 to manufacture according to their job cost sheets were completed during the year. h. Jobs were sold on account to customers during the year for a total of $3,075,000. The jobs cost $1,568,300 to manufacture according to their job cost sheets Foundational 3-14 14. What is the gross margin for the year? Gross margin Bunnell Corporation is a manufacturer that uses job-order costing. On January 1, the company's inventory balances were as follows: Raw materials $ 75,500 Work in process $ 19,600 Finished goods $ 59,400 The company applies overhead cost to jobs on the basis of direct labor hours. For the current year, the company's predetermined overhead rate of $14.00 per direct labor-hour was based on a cost formula that estimated $560,000 of total manufacturing overhead for an estimated activity level of 40,000 direct labor-hours. The following transactions were recorded for the year: a. Raw materials were purchased on account. $606,000. b. Raw materials used in production, $561,200. All of of the raw materials were used as direct materials. c. The following costs were accrued for employee services: direct labor, $510,000; indirect labor, $150,000; selling and administrative salaries, $257,000. d. Incurred various selling and administrative expenses (e.g., advertising, sales travel costs, and finished goods warehousing). $382,000. e. Incurred various manufacturing overhead costs (e.g., depreciation, insurance, and utilities). $410,000. 4. Manufacturing overhead cost was applied to production. The company actually worked 41000 direct labor-hours on all jobs during the year g. Jobs costing $1,558,300 to manufacture according to their job cost sheets were completed during the year. n Jobs were sold on account to customers during the year for a total of $3,075,000. The jobs cost $1,568,300 to manufacture according to their job cost sheets. Foundational 3-15 15. What is the net operating income for the year? Net operating income

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