Gates Office Furniture Inc., manufactures customized office furniture, so it uses job order costing system. Overhead is applied at the rate of 90% of direct labor cost. The following is a list of transactions for January: Jan. 1: Purchased direct material on account, $23,000; and indirect materials on account, $5,000. Jan. 4: Requested direct materials costing $17,400 ($11,800 used on Job A and $5,600 used on Job B) and indirect materials costing $450 for production. Jan. 8: Paid the following overhead costs: utilities, $800; manufacturing rent, $2,300. Jan. 15: Recorded the following gross wages and salaries for employees: direct labor, $4,600 ($3,680 for Job A and $920 for Job B); indirect labor, $200. Jan. 15: Applied overhead to production. Jan. 16: Completed and transferred Job A and Job B to finished goods inventory; total cost of both jobs was $26,140. Jan. 20: Delivered Job A to the Customer A and billed customer for the sales price $25,000. Jan. 23: Delivered Job B to the Customer B and collected the sales price $10,000. Jan. 30: Closed the overhead account and adjusted the cost of goods sold if overhead is underapplied or overapplied Required (50 points); 1. Make the journal entries and ledgers for all transactions in January. 2. What is the gross profit/loss of the company in January.