Froye Fabricker As of Bergen, Norway, is a small company that manufactures specialty heavy equipment for use in. North 5 ea oil fielas. The company uses a job-order costing system that applies manufacturing overhead cost to jobs on the basis of direct laborhours. its predetermined oveshead rate was based on a cost formula that estimated $360.000 of manufacturing overhead for an estimated allocation base of 900 direct laborthours. The foilowing transactions took place dueing the year: a. Raw materals purchased on account $200,000 b. Raw materials used in procuction (all direct materiais). $185,000. c. Utiliy bills incured on account, $70.000;90% related to factory operations, and the remainder refated to seling artd administrative activities) c. Acciued solary and wape coits e. Maintenance costs incurred on account in the factory, $54,000. 1. Advertising costs incurred on account, $136,000 9. Depreciation was recorded for the year, $95,000(80% related to factory equipment, and the remainder related to seiling and administrative equiprnent. h. Remtal cost incurted on account, $120,000 (85\% related to factory facilities, and the remainder related to selling and adiministrative facililies) 1. Manufacturing overhead cost was applied to jobs, \$? 1. Cost of goods manufactured for the year, $770,000. k. Sales for the year fal on accounti totaled $1,200,000. These goods cost $800,000 according to their job cost sheets. The balances in the inventory accounts at the beginhing of the year were: Froye Fabricker As of Bergen, Norway, is a small company that manufactures specialty heavy equipment for use in. North 5 ea oil fielas. The company uses a job-order costing system that applies manufacturing overhead cost to jobs on the basis of direct laborhours. its predetermined oveshead rate was based on a cost formula that estimated $360.000 of manufacturing overhead for an estimated allocation base of 900 direct laborthours. The foilowing transactions took place dueing the year: a. Raw materals purchased on account $200,000 b. Raw materials used in procuction (all direct materiais). $185,000. c. Utiliy bills incured on account, $70.000;90% related to factory operations, and the remainder refated to seling artd administrative activities) c. Acciued solary and wape coits e. Maintenance costs incurred on account in the factory, $54,000. 1. Advertising costs incurred on account, $136,000 9. Depreciation was recorded for the year, $95,000(80% related to factory equipment, and the remainder related to seiling and administrative equiprnent. h. Remtal cost incurted on account, $120,000 (85\% related to factory facilities, and the remainder related to selling and adiministrative facililies) 1. Manufacturing overhead cost was applied to jobs, \$? 1. Cost of goods manufactured for the year, $770,000. k. Sales for the year fal on accounti totaled $1,200,000. These goods cost $800,000 according to their job cost sheets. The balances in the inventory accounts at the beginhing of the year were
