JULIETY Manufacturing Process Information arts, the CEO of Robust Robots, Inc. has begun a small manufacturing process that will manufacture simple functionine robots and then sell the robots to merchandising compa merchandising companies. The manufacturing process starts with plastic being coring process starts with plastic beine formed into parts through injection molding. After the parts are cooled an are cooled and inspected the parts are assembled. The first step is attaching the dome to the Y.attach the legs, then insert the motor and fasten the wheels. Once completed the robots are then transferred to finished goods. This is a process cost system and the company elects to use the FIFO method of accounting for product costs. Direct material-plastic is added 100% at the beginning of the process for all parts. Direct material motors and wheels are added 100% as the last step in the manufacturing process, At the beginning of the accounting period, Mr. Roberts estimates that production will be 100.000 robots during the year. Estimated factory overhead is $50,000. This information is to be used to determine the application rate for the manufacturing overhead. Estimated and actual direct labor costs totaled $41,880. Actual factory overhead costs totaled $45,000. The following information is available concerning direct materials. Direct Materials-Plastic Pellets Beginning inventory O plastic pellets Purchase of plastic 100,000 pounds @ $10.63 a pound Each robot takes a pound of plastic pellets. Direct Material-Motors Beginning inventory Purchase of motors Each robot contains one motor. O motors 100,000 motors @ $15.00 each Direct Materials-Wheels Beginning inventory Purchase of wheels Each robot needs 2 wheels. O wheels 200,000 wheels @ $5.00 each The Work-in-process account has the following information: Ending work in process inventory has 17,000 units that are 100% complete as to plastic parts, 25% complete as to conversion costs and 0% complete as to motors and wheels. The Finished Goods account has the following Information: The finished goods inventory at January 1, 2019 had a balance of 2,000 robots at a cost of $140,000 and on December 31, 2019 had an ending balance of 3,000 robots. The selling price of the robot is $70.00. Selling and Administrative Costs totaled $100,000; tax rate is 35%. Please prepare a Statement of Cash Flows as shown below in the book using Excel. After you answer all questions on Blackboard please staple the Statement of Cash Flows, prepared in Excel, to the back cover of the practice set. Robust Robots, Inc. Statement of Cash Flows For the Year Ended December 31, 2019 Cash Flows from Operating Activities Net Income Adjustments to reconcile net income to Net cash flow from operating activities Depreciation Amortization Gain or Loss Changes in current operating assets and liabilities Net Cash Flow from Operating Activities Cash Flows from Investing Activities Cash received from sale Less cash used for purchases Net Cash Flow from Investing Activities Cash Flow from Financing Activities Cash received from sale Less cash paid dividends or long-term debt Net Cash Flow from Financing Activities Increase or decrease in cash Cash at the beginning of the year Cash at the end of the year cha 000 Chart of Accounts 10000 Cash 11000 Accounts Receivable 12000 DM-Plastic 12100 DM - Motors 12150 DM-Wheels 15000 Work-In-Process 15050 Factory Overhead 16000 Finished Goods FG 20000 Accounts Payable 21000 Wages Payable 40000 Sales 50000 COGS 10 10 11 12 13 14 15 16 17 a. In the first journal entry record the purchase of the plastic, motors, and wheels using accounts payable. b. Record the materials transferred to WIP. Again use one journal entry to record the transfer of the plastic, motors and wheels. C. Record the direct labor into WIP using wages payable. d. Record the applied FOH. e. Record the actual FOH using cash. f. Record the over or under applied FOH. g. Record the sale of the goods on account along with the cost of the inventory that was sold. Combine both into one journal entry showing the sale first and inventory second