Job Order Costing - 12pts: Blink, Inc. is a manufacturer that uses a job-order costing system.At the beginning of April 2020, Blink had two jobs in process, Job V and Job W.During April 2020, Blink continued working on Job V and W, but also began working on 3 additional jobs: Job X, Job Y, and Job Z.Costs for these five jobs are listed below:

Job V

Job W

Job X

Job Y

Job Z

Balances on April 1, 2020:

Direct materials

$7,000

$11,600

$0

$0

$0

Direct labor

$3,100

$5,940

$0

$0

$0

Applied OH (75% of DL)

$2,325

$4,455

$0

$0

$0

Costs incurred during April

Direct materials

$29,575

$34,995

$21,530

$37,410

$9,005

Direct labor

$16,400

$20,500

$9,620

$18,020

$2,980

Applied OH (75% of DL cost)

$?

$?

$?

$?

$?

Status on April 30, 2020

Finished (unsold)

Finished (sold)

In process

Finished (unsold)

In process

Blink provided additional information for April:

Job W was sold to a customer on account for $135,000 in April

Raw materials inventory (direct and indirect), beginning balance on 4/1/2020: $39,440

Raw materials (direct and indirect) purchased in April 2020: $126,950

Finished goods inventory, beginning balance on 4/1/2020: $0

Actual Factory OH costs incurred in April:Indirect materials = $4,033;Indirect labor = $7,085;Factory rent = $7,200;Factory utilities = $780;Factory equipment depreciation = $31,500

The predetermined OH rate is 75% of DL costs.

a.(1pt) Determine:The amount of Factory OH applied to each job during April.

b.(8pts) Prepare journal entries for the month of April to record the below transactions (make sure to use proper journal entry formatting and include a brief description of each entry).

1)Raw materials purchases (on credit).

2)Direct materials used in production during April.

3)Direct labor used in production during April (credit Factory Wages Payable).

4)Overhead costs applied during April.

5)Transfer of Jobs V, W, and Y to Finished Goods Inventory.

6)Revenue from the sale of Job W.

7)Cost of goods sold for Job W.

8)Assignment of any underapplied or overapplied overhead to the Cost of Goods Sold account (Assume the amount is not material).

c.(3pts) Determine the April 30^th balances of the firm's three inventory accounts:

1)Raw Materials Inventory account

2)Work in Process (WIP) Inventory account

3)Finished Goods Inventory account