Journal Entries, T-Accounts, Cost of Goods Manufactured and Sold During May, the following transactions were completed and reported by Jerico Company: a. Materials purchased on account, $60,100. b. Materials issued to production to fill job-order requisitions: direct materials, $50,000; indirect materials, $8,800. C. Payroll for the month: direct labor, $75,000; indirect labor, $36,000; administrative, $28,000; sales, $19,000. d. Depreciation on factory plant and equipment, $10,400. e. Property taxes on the factory accrued during the month, $1,450. f. Insurance on the factory expired with a credit to the prepaid insurance account, $6,200. g. Factory utilities, $5,500. h. Advertising paid with cash, $7,900. i. Depreciation on office equipment, $800; on sales vehicles, $1,650. j. Legal fees incurred but not yet paid for preparation of lease agreements, $750. k. Overhead is charged to production at a rate of $18 per direct labor hour. Records show 4,000 direct labor hours were worked during the month. 1. Cost of jobs completed during the month, $160,000. The company also reported the following beginning balances in its inventory accounts: Materials Inventory $7,500 Work-in-Process Inventory 37,000 Finished Goods Inventory 50,000 Jerico Company Statement of Cost of Goods Manufactured For the Month Ended May 31, 20XX Direct materials 50,000 Direct labor 75,000 Overhead: Supplies 8,700 X Indirect labor 35,000 X Depreciation, plant, and equipment 10,500 X Property taxes 1,450 Utilities, factory 5,500 Insurance 6,200 189,350 X Add: Overapplied overhead 3,000 X Cost of goods manufactured x 192,350 37,000 Manufacturing costs added Add: Beginning work in process 127,700 Less: Ending work in process Cost of goods manufactured $ 101,650 Jerico Company Statement of Cost of Goods Manufactured For the Month Ended May 31, 20XX Direct materials 50,000 Direct labor 75,000 Overhead: Supplies 8,700 X Indirect labor Beginning work in process 35,000 X nt 10,500 X Cost of goods manufactured 1,450 Depreciation, plant, and equipment Direct labor 5,500 Direct materials 6,200 Indirect labor 189,350 X Overhead applied 3,000 X Cost of goods manufactured x 192,350 Manufacturing costs added 37,000 Add: Beginning work in process 127,700 Less: Ending work in process Cost of goods manufactured $ 101,650