FILL OUT BLUE SQUARES

Perfecto Pizza Company produces microwavable pizzas. The following accounts appeared in Perfecto's ledger as of December 31. Additional information: a. Accounts payable is used only for direct-material purchases. b. Underapplied overhead of $2,700 for the year has not yet been closed into cost of goods sold. Required: Complete the following T-accounts. Bal. 1/1 Raw-Material Inventory 21,300 134,800 36,000 Accounts Payable 2,700 Bal. 1/1 136,500 1,000 Bal. 12/31 Bal. 12/31 Work-in-Process Inventory 17,000 Finished-Goods Inventory 12,000 Bal. 1/1 Bal. 1/1 Direct material Direct labor Manufacturing overhead Bal. 12/31 150,000 Bal. 12/31 20,000 19,000 Manufacturing Overhead 447,500 Cost of Goods Sold 710,200 447,500 710,200 Sales Revenue Wages Payable 2,000 Bal. 1/1 147,000 5,000 Bal. 12/31 0 Bal. 1/1 Accounts Receivable 11,100 806,000 15,000 Bal. 12/31