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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 $ 77,000 $ 29,000 $ 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 $13.25 per direct labor-hour was based on a cost formula that estimated $530,000 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. $708,000. b. Raw materials used in production, $666,400. All of of the raw materials were used as direct materials. c. The following costs were accrued for employee services: direct labor, $480,000; Indirect labor, $150,000; selling and administrative salaries, $335,000. d. Incurred various selling and administrative expenses (e.g., advertising, sales travel costs, and finished goods warehousing). $397000. e. Incurred various manufacturing overhead costs (e.g. depreciation, insurance, and utilities) $380,000. 1. 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 $1,606,150 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 $3,165.000. The jobs cost $1,616,150 to manufacture according to their job cost sheets Foundational 3-3 (Algo) 3. What is the journal entry to record the labor costs incurred during the year? (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

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