Davis, Managerial Accounting, 3e PLUS Helo I System Aonouncements CALCULAToR Problem 4-32 Part 12 Sheffield Wings, Inc. manufactures airpianes for use in stunt shows. Sheffield's factory is highly automated, using the latest in robotic technology. To keep costs low, the company employs as few factory workers as possible. Since each plane has different features (such as its shape, weight, and color), Sheffield uses a job order costing system to accumulate product costs At the end of 2016, Sheffield's accountants developed the following expectations for 2017 based on the marketing department's sales forecast: Budgeted overhead cost Estimated machine hours Estimated direct labor hours Estimated direct materials cost $1,520,000 $1,093,000 49,000 10,000 Sheffield's inventory count, completed on December 31, 2016, revealed the following ending inventory balances: Raw Materials Inventory $251,000 Work in Process Inventory $626,000 Finished Goods Inventory $2,390,000 The company's 2017 payrol data revealed the following actual payroll costs for the year Number Wage Rate Salary per Worked per Employed per Hour Employee Employee Job Title President and Vice president and CFO Factory manager Assistant factory manager 1 Machine operator Security guard, factory Forkift operator Corporate secretary Janitor, factery $178,000 $41,000 $14.5 2,250 $20,600 $7.5 2,000 $36,800 $6 2,150 The following information was taken from Shefield's Schedule of Plant Assets. All assets are depreciated using the straight-line met thod