Job Order Cost Accounting for a Service Company The law firm of Furtan and Benson accumulates costs associated with individual cases, using a job order cost system. The following transactions occurred during July July 3. Charged 540 hours of professional (lawyer) time to the Obsidian Co, breech of contract sult to prepare for the trial at a rate of $230 per houn 10. Reimbursed travel costs to employees for depositions related to the Obsidian case, $24,500, 14. Charged 270 hours of professional time for the Obsidian trial at a rate of $250 per hour. 18. Received invoice from consultants Wadsley and Harden for $52,500 for expert testimony related to the Obsidian trial 27. Applied office overhead at a rate of $70 per professional hour charged to the Obsidian case. 31. Paid administrative and support salaries of $40,300 for the month 31. Used office supplies for the month, $13,500 31. Paid professional salaries of $162,000 for the month. 31. Billed Obsidian $371,000 for successful defense of the case > a. Provide the journal entries for each of these transactions. If an amount box does not require an entry, leave it blank. July 3 Work in Process Salaries Payable July 10 Work in Process Cash July 14 Work in Process Salaries Payable X July 18 Work in Process July 27 Work in Process Office Overhead July 31 Admin, sal office Overhead Cash July 31 Supplies Office Overhead X Supplies July 31 Prof. sal Salaries Payable X Cash July 31 Billed Accounts Receivable Fees Earned July 31 Cost x Cost of Services Work in Process Feedback Check My Work a. Record the direct costs in Work in Process. Apply the overhead based on professional hours. Record actual overhead in the Office Overhead account. For cases completed, move the costs from Work in Process to cost of s b. How much office overhead is over- or underapplied? Enter your answer as a positive number. x x c. Determine the gross profit on the Obsidian case, assuming that over- or underapplied office overhead is closed monthly to cost of s