Durham Company's trial balance as of January 1, the beginning of the current year, is shown below: Cash Accounts Receivable Raw Materials Work in Process Finished Goods Prepaid Insurance Plant and Equipment Accumulated Depreciation Accounts Payable Capital Stock Retained Earnings Total $ 8,000 13,000 7,000 18,000 20,000 4,000 230,000 $ 42,000 30,000 150,000 78,000 $300,000 $300,000 Durham Company uses a job-order costing system. During the year, the following transactions took place: a. Raw materials were purchased on account: $45,000. b. Raw materials were requisitioned for use in production: $40,000 (80% direct and 20% indirect). c. Factory utility costs were incurred: $14,600. d. Depreciation was recorded on plant and equipment: $28,000. Three-fourths of the depreciation relates to factory equipment, and the remainder relates to selling and administrative equipment. e. Costs for salaries and wages were incurred as follows: Direct labour $40,000 Indirect labour $18,000 Sales commissions $10,400 Administrative salaries $25,000