Christopher's Custom Cabinet Company uses a job order cost system with overhead applied as a percentage of direct labor costs. Inventory balances at the beginning of 2018 follow 47 Raw Materials Inventory Work in Process Inventory Finished Goods Inventory $15,500 6,300 21,600 The following transactions occurred during January (a) Purchased materials on account for $26,000, (b) Issued materials to production totaling $20,200, 90 percent of which was traced to specific jobs and the remainder of which was treated as Indirect materials (c) Payroll costs totaling $16,300 were recorded as follows: $10,800 for assembly workers 1,800 for factory supervision 1.900 for administrative personnel 1.800 for sales commissions (a) Recorded depreciation: $4.700 for factory machines, $800 for the copler used in the administrative office. (e) Recorded $1,400 of expired Insurance. Forty percent was insurance on the manufacturing facility, with the remainder classified as an administrative expense. (Paid $6.200 in other factory costs in cash. (9) Applied manufacturing overhead at a rate of 200 percent of direct labor cost (hj Completed all Jobs but one, the job cost sheet for the uncompleted job shows $2,300 for direct materials, $2.400 for direct labor. and $4.800 for applied overhead. (Sold jobs costing $50,800. The revenue earned on these jobs was $66,040. ---WHITE CU VITUD JUUS was 06.040. Required: 1. Set up T-accounts, record the beginning balances, post the January transactions, and compute the final balance for the following accounts: a. Raw Materials Inventory. b. Work in Process Inventory c. Finished Goods Inventory d. Cost of Goods Sold e. Manufacturing Overhead. 1. Selling, General, and Administrative Expenses. g. Sales Revenue 2. Determine how much gross profit the company would report during the month of January before any adjustment is made for the overhead balance. 3. Determine the amount of over- or underapplied overhead. 4. Compute adjusted gross profit assuming that any over- or underapplied overhead balance is adjusted directly to cost of Goods Sold. Required 1 Required 2 Required 3 Required 4 Set up T-accounts, record the beginning balances, post the January transactions, and compute the final balance for the following accounts: (Past all amounts separately. Do not combine/add any dollar amounts when posting to the T-accounts.) a. Raw Materials Inventory. b. Work in Process Inventory. c. Finished Goods Inventory. d. Cost of Goods Sold. e. Manufacturing Overhead. t. Selling, General, and Administrative Expenses. g. Sales Revenue. Showie Raw Material Inventory 15,500 Work In Process Inventory 6.300 Beg Bal Beg Bal End. Bal 15.500 End, Bal 6.300 Cost of Goodc Bold Finlched Good Inventory 21,600 Bog Bal Bo Bol End. Bal 21.600 End Ba Manufacturing Overhead Bolling, General, and Administrative Expenses Bo Bol BBS End B End Bar Bale Ravenue Bo B End B Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Determine how much gross profit the company would report during the month of January before any adjustment is made for the overhead balance. Unadjusted Gross Profit Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Determine the amount of over- or underapplied overhead. Manufacturing Overhead Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Compute adjusted gross profit assuming that any over- or underapplied overhead balance is adjusted directly to cost of Goods Sold. Adjusted Gross Profit