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 labor- hours. Its predetermined overhead rate was based on a cost formula that estimated $395,600 of manufacturing overhead for an estimated allocation base of 920 direct labor-hours. The following transactions took place during the year: a. Raw materials purchased on account, $290,000 b. Raw materials used in production (all direct materials), $275,000 c. Utility bills incurred on account, $77000(90% related to factory operations, and the remainder related to selling and administrative activities) d. Accrued salary and wage costs: $ 320,000 $ 108,000 200,000 Direct labor (970 hours) Indirect labor Selling and administrative salaries e. Maintenance costs incurred on account in the factory, $72,000 f Advertising costs incurred on account, $154,000. g. 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 rem ainder related to selling and administrative facilities) i. Manufacturing overhead cost was applied to jobs, $_? j. Cost of goods manufactured for the year, $950,000 k. Sales for the year (all on account) totaled $2.100,000. These goods cost $980,000 according to their job cost sheets The balances.in the inventory.accounts.at the beginning of the year were The balances in the inventory accounts at the beginning of the year were: $48,000 $ 39,000 78,000 Raw Materials Work in Process Finished Goods Required 1. Prepare journal entries to record the preceding transactions. 2. Post your entries to T-accounts. (Don't forget to enter the beginning inventory balances 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. 4B. Prepare a schedule of cost of goods sold 5. Prepare an income statement for the year. Prepare a journal entry to close any balance in the Manufacturing Overhead account to Cost of Goods Sold. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Record the entry to close any balance in the manufacturing overhead account to cost of goods sold Note: Enter debits before credits. Debit Credit Transaction General Journal