Check my Problem 34-4 (Algo) Transaction Analysis [LO3-5) Morrison Company uses a job-order costing system to assign manufacturing costs to jobs. Its balance sheet on January 1 is as follows. $ 42.150 Morrison Company Balance Sheet January 1 Assets Canh Raw materials Work in process Finished goods Prepaid expenses Property, plant, and equipment (net) Total assets Liabilities and Stockholders' Equity Accounts payable Retained earnings Total liabilities and stockholders' equity $13,400 4,600 20,400 nces 38,400 2.675 102.000 5.265,225 $ 9.000 256,225 265, 225 During January the company completed the following transactions: a. Purchased raw materials on account, $85,200 b. Raw materials used in production, $93,400 ($77,600 was direct materials and $15,800 was indirect materials) c. Paid $181,300 of salaries and wages in cash ($104,800 was direct labor, $37,650 was indirect lobor, and $38,850 was related to employees responsible for selling and administration). d. Various manufacturing overhead costs incurred (on account) to support production, $33,150. e. Depreciation recorded on property, plant, and equipment, $86,800 70% related to manufacturing equipment and 30% related to assets that support selling and administration), f. Various selling expenses paid in cash, $28,850. 9. Prepaid Insurance expired during the month, $1.650 (80% related to production, and 20% related to selling and administration) Prev 1 of 1 Next Check 9. Prepaid insurance expired during the month, $1,650 (80% related to produjon, and 20% related to selling and administration), h. Manufacturing overhead applied to production, $146,800. 1. Cost of goods manufactured, $300.500. J. Cash sales to customers, $411,240. k Cost of goods sold (unadjusted). $296,600. 1. Cash payments to creditors, $65,200. m. Underapplied or overapplied overhead_$? Required: 1. Calculate the ending balances that would be reported on the company's balance sheet on January 31st (Hint: Be sure to calculate the underapplied or overapplied overhead and then account for its affect on the balance sheet.) 2. What is Morrison Company's net operating Income for the month of January? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Check my work Required 1 Required 2 Calculate the ending balances that would be reported on the company's balance sheet on January 319. (Hint: Be sure to calculate the underapplied or overapplied avert account for its affect on the balance sheet. (Amounts to be deducted should be indicated by a minus sign.) Morrison Company Transaction Analysis For the Month Ended Jaunary 31 Raw Work in Finished Cash Manufacturing Prepaid Materials Process Goods PPAE (net) Overhead Expenses $ 42.150 S 13,400 5 4.600 $ 20,400 $ 0 $ 2,675 $ 182,000 Accounts Retained Payable Earning $ 9,000 $255.225 Transactions Beginning balances 1/1 (a) Raw material purchases (b) Raw materials used in production (c) Salaries and wagen (d) Various overhead costs (o) Depreciation (1) Various selling expenses (g) Expiration of prepaid insurance C) Manufacturing overhead applied w Cost of goods manufactured 0 Sales 100 Cost of goods sold 10 Payments to creditors (m) Ending balances 1/31 Hequired 2 > Required: 1. Calculate the ending balances that would be reported on the company's balance sheet on January 31st . (Hint: Be sure to calculate the underapplied or overapplied overhead and then account for its affect on the balance sheet.) 2. What Is Morrison Company's net operating income for the month of January? Complete this question by entering your answers in the tabs below. Required 1 Required 2 What is Morrison Company's net operating income for the month of January? Not operating income