Froya Fabrikker A/S of Bergen, Norway, is a small company that manufactures specialty heavy equipment for use in North Sea oil fields. The company uses a job-order costing system that applies manufacturing overhead cost to jobs on the basis of direct laborhours. Its predetermined overhead rate was based on a cost formula that estimated $349,800 of manufacturing overhead for an estimated allocation base of 1,060 direct labor-hours. The following transactions took place during the year. a. Raw materials purchased on account, $230,000. b. Raw materials used in production (all direct materials), $215,000. c. Utility bilis incurred on account, $65,000 (85\% related to factory operations, and the remainder related to selling and administrative activities). d. Accrued salary and wage costs: e. Maintenance costs incurred on account in the factory. $60,000 1. Advertising costs incurred on account, $142,000. 9. Depreciation was recorded for the year, $90,000(75% related to factory equipment, and the remainder related to selling and administrative equipment) h. Rental cost incurred on account, $115,000(80% related to factory facilities, and the remainder related to selling and administrative facilities). 1. Manufacturing overhead cost was applied to jobs, \$ ? f. Advertising costs incurred on account, $142,000 9. Depreciation was recorded for the year, $90.000(75% related to factory equipment, and the remainder related to selling and administrative equipment). h. Rental cost incurred on account, $115,000(80% related to factory facilities, and the remainder related to selling and administrative facilities) 1. Manufacturing overhead cost was applied to jobs, $ ? 1. Cost of goods manufactured for the year, $830,000 k. Sales for the year (all on account) totaled $1,500,000. These goods cost $860,000 according to their job cost sheets: The baiances in the inventory accounts at the beginning of the year were Required: 1. Prepare journal entries to record the preceding transactions 2. Post your entries to Taccounts (Dont forget to enter the beginning inventory batances above) 3. Prepare a schedule of cost of goods manufactured 4A. Prepare a journal entry to close any balance in the Manufacturing Overhead account to Cost of Goods Sold. 48. Prepare a schedule of cost of goods sold 5. Prepare an income statement for the year