Exercise 7-41 (Algo) Job Costing in a Service Organization (LO 7-4) For August. Royal Consulting and Mediation Practice (RCMP) worked 1,050 hours for Alberta Company and 2,250 hours for Ontario Corporation. RCMP bills clients at the rate of $480 per hour; labor cost for its consulting staff is $280 per hour. The total number of hours worked in August was 3,300, and overhead costs were $68,000. Overhead is applied to clients at $25 per labor-hour. In addition, RCMP had $280,000 in marketing and administrative costs. All transactions are on account. All services were billed. Transaction Description (a) Record Labor cost (b) Record Applied Service Overhead Record Cost of services billed (d) Record Actual Service Overhead (0) Required: a. Show labor and overhead cost flows through T-accounts. b. Prepare an income statement for the company for August. Complete this question by entering your answers in the tabs below. Required A Required B Show labor and overhead cost flows through T-accounts. Work-In-Process Beg. bal. Beg. bal. Wages Payable 0 924,000 (a) 924,000 End. bal. (b) End. bal. 924,000 82,500 1,006,500 Cost of Services Billed Service Overhead Control 0 Beg. bal. Beg. bal. (C) 68,000 (6) End. bal. End. bal. 68,000 Applied Service O.H. 1.Beg bal