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Froya Fabrikker A/Sergen, Norv is a small company that manufactures specialty heavy equipment for use in North Sea oil fields. The company hours. Its predetermined

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Froya Fabrikker A/Sergen, Norv is a small company that manufactures specialty heavy equipment for use in North Sea oil fields. The company hours. Its predetermined overhead rate was based on a cost formula that estimated $370,500 of manufacturing overhead for an estimated allocation base of 950 direct labor-hours. The following transactions took place during the year job-orcer costing system that applies manufacturing overhead cost to jobs on the basis of direct labor- a. Raw materials purchased on account, $270,000. b. Raw materials used in production (all direct materials), $255,000. c. Utility bills incurred on account, $73.000 (90 % related to factory operations. and the remainder related to selling and administrative activities). d. Accrued salary and wage costs: Direct labor (1,030 hours) $300,000 $104,000 $180,000 Indirect 1abor Selling and administrative salaries e. Maintenance costs incurred on account in the factory, $68,000 f. Advertising costs incurred on account, $150,000. q. Depreciation was recorded for the year, $86,000 (75 % related to factory equipment, and the remainder related to sellina and administrative equipment). h. Rental cost incurred on account, $111,000 (80 % related to factory facilities, and the remainder related to selling and administrative facilities). i. Manufacturing overhead cost was applied to jobs, $? j. Cost of goods manufactured for the year, $910.000. k. Sales for the year (all on account) totaled $1,900,000. These goods cost $940,000 according to their job cost sheets. The balances in the inventory accounts at the beginning of the year were: Raw Materials Work in Process Finished Goods $44,000 $35,000 $74,000 Required: 1. Prepare journal entries to reco the preceding transactions. 2 Post your entri T-accoun Don't forget to enter the beginning inventory balances above.) 3. Prepare a scheo 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. Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 48 Req 5 Prepare journal entries to record the preceding transactions. (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 6 7 8 12 3 4 2 The raw materials used in production (all direct materials), $255.000. Note: Enter debits before credits Credit Debit General Journal Transaction b

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