Job Order Cost Accounting for a Service Company The Fly Company provides advertising services for dients across the nation. The Fly Company is presently working on four projects, each for a different client. The Fly Company accumulates costs for each account (client) on the basis of both direct costs and allocated indirect costs. The direct costs include the charged time of professional personnel and media purchases (air time and ad space). Overhead is allocated to each project as a percentage of media purchases. The predetermined overhead rate is 40% of media purchases On August 1, the four advertising projects had the following accumulated costs: August 1 Balances Vault Bank $63,700 Take Off Airlines 19,100 Sleepy Tired Hotels 44,600 Tastee Beverages 27,400 $154,800 During August, The Fly Company incurred the following direct labor and media purchase costs related to preparing advertising for each of the four accounts: Direct Labor Media Purchases Vault Bank $41,800 $162,500 Take Off Airlines 18,700 143,000 Sleepy Tired Hotels 104,400 Tastee Beverages 78,100 $236,300 $488,000 Total 82,200 93,600 Total At the end of August, both the Vault Bank and Take Off Airlines campaigns were completed. The costs of completed campaigns are debited to the cost of services account. a. Journalize the summary entry to record the direct labor costs for the month. b. Joumalize the summary entry to record the media purchases for the month. b. C. Journalize the summary entry to record the overhead applled for the month. d. Journalize the summary entry to record the completion of Vault Bank and Toke Off Airlines for the month