Instructions: If Ryde and Rowe assigns manufacturing overhead of 84,400, what will be the balances in a the Direct Materials, Work in Process, and Finished Goods Inventory accounts at the end of January? b As of January 31, what will be the balance in the Manufacturing Overhead account? c What was Ryde and Rowe's unadjusted operating income for January? Assets or Expenses Liabilities or Revenues Parts a and b Direct labor Hours: 18,000 Direct Materials Work In process Finished Goods Cost of Goods Sold Debit Credit Debit Credit Debit Credit Debit Credit Beo 89,200 326,000 Beg 178,400 970,100 Beg 253,600 1,089,000 Beo 1,089,000 2 335,750 1 442,000 10 970,100 4 326,000 84,400 424,950 326,000 1,030,800 970,100 1,223,700 1,089,000 1,089,000 98,950 60,700 134,700 1,089,000) Overhead Commission Expense Advertising Expense Accounts Receivable Debit Credit Debit Credit Debit Credit Debit Credit Beg Beg Beo Beg 2 13,500 3 216,500 EX 2, 3 Ex 16-6 Problem 16.5A |Problem 16.8APayables / various credits Sales Revenue Debit Credit Debit Credit Beg Beg 442,000 1 349,250 2 216,500 2 1,007,750 1,007,750Exercise: 16-6 Flow of Costs through Manufacturing Accounts Ryde and Rowe Inc. had the following account balances as of January 1. Direct Materials Inventory 89,200 Work in Process Inventory 178,400 Finished Goods Inventory 253,600 Manufacturing Overhead During the month of January, all of the following occurred. Using the provided T-Accounts, enter each transaction's debit and credit to the correct accounts. All credits for purchases, depreciation, etc will be booked to "Payables/Various Credits" Direct labor costs were 442,000 for 18,000 hours worked Direct materials costing 335,750 and indirect materials costing 13,500 were purchased 3 Sales commissions of 216,500 were earned by the sales force 326,000 worth of direct materials were used in production Advertising costs of 36,300 were incurred Factory supervisors earned salaries of 22,000 Indirect labor costs for the month were 23,000 8 Monthly depreciation on factory equipment was 24,500 9 Utilities expense of 17,800 was incurred in the factory 10 Equipment with manufacturing costs of 970,100 were transferred to finished goods 11 Monthly insurance costs for the factory were 4,200 12 5,000 in property taxes on the factory were incurred and paid 13 Equipment with manufacturing costs of 1,089,000 were sold on account for 1,550,000