Bunnell Corporation is a manufacturer that uses job-order costing. On January 1, the company's inventory balances were as follows: Raw materials $ 60,500 Work in proceso $ 20,800 Finished goods $ 57,600 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 $11.25 per direct labor-hour was based on a cost formula that estimated $450,000 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. $622,000. b. Raw materials used in production, $591,800. All of of the raw materials were used as direct materials. c. The following costs were accrued for employee services: direct labor, $400,000; Indirect labor, $150,000; selling and administrative salaries, $280,000. d. Incurred various selling and administrative expenses (eg. advertising, sales travel costs, and finished goods warehousing). $400,000 e. Incurred various manufacturing overhead costs (0.9., depreciation, insurance, and utilities). $300,000. 1. Manufacturing overhead cost was applied to production. The company actually worked 41,doo direct labor-hours on all Jobs during the year Jobs costing $1,360,750 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 $3,330,000. The Jobs cost $1,370,750 to manufacture according to their job cost sheets. Foundational 3-8 (Algo) 8. What is the total amount of actual manufacturing overhead cost incurred during the year? Total actual manufacturing overhead cost Foundational 3-9 (Algo) 9. Is manufacturing overhead underapplied or overapplied for the year? By how much? Foundational 3-10 (Algo) 10. What is the cost of goods available for sale during the year? Cost of goods available for sale Foundational 3-12 (Algo) 12. What is the ending balance in Finished Goods? Finished Goods Credit Debit Beginning balance Ending balance Foundational 3-13 (Algo) 9. Is manufacturing overhead underapplied or overapplied for the year? By how much? Adjusted cost of goods sold Foundational 3-14 (Algo) 14. What is the gross margin for the year? Gross margin Foundational 3-15 (Algo) 15. What is the net operating Income for the year? Net operating Income