Managerial Accounting question?

43. Journal Entries, Closing Manufacturing Overhead, and Preparing an Income Statement. Jansen, Inc., is a defense contractor that uses job costing., Because the firm uses a perpetual inventory system, the three supporting schedules to the income statement (the sehedule of raw materials placed in production,, the sehedule of cost of goods manufactured, and the schedule of cost of goods sold) are not necessary. Inventory account beginning balances at January 1, 2016, are listed as follows. Raw materials inventory $ 500,000 Work-in-process inventory $ 700,000 Finished goods inventory $1,800,000 You will be recording the following transactions, which summarize the activities that occurred during the year ended December 31, 2016: 1. Raw materials were purchased for $300,000 on account. 2. Raw materials totaling $420,000 were placed in production, $60,00o for indirect materials and $360,000 for direct materials. 3- The raw materials purchased in transaction 1 were paid for. 4. A total cost of $800,000 for direct labor, shown on the timesheets, was recorded as wages payable 5. Production supervisors and other indirect labor working in the factory were owed $540,000, recorded as wages payable 6. Wages owed, totaling $1,200,000, were paid. (These wages were previously recorded correctly as wages payable.) 7. The costs listed in the following related to the factory were incurred during the period. (Hint: Record these items in one entry with one debit to manufacturing overhead and four separate eredits): Building depreciation $580,000 $220,000 Insurance (prepaid during 2016, now expired) $ 80,000 Utilities (on account) $440,000 Maintenance (paid cash) 8. Manufacturing overhead was applied at a rate of $20 per machine hour, and g0,000 machine hours were utilized during the year. (Hint: No need to calculate the predetermined overhead rate since it is already given to you here.) 9. Miscellaneous selling costs totaling $430,000 were paid. These costs were recorded in an account called selling expenses. 10, Miscellaneous general and administrative costs totaling $265.0o00 were paid. These costs were recorded in an account ealled G&A expenses. 11. Goods costing $2.030.000 (per the job cost sheets) were completed and transferred out of work-in-process inveatory 12. Goods were sold on account forr $3.800,00o. 13. The goods sold in transaction 12 had a cost of S2.570.00o (per the job cost sheets), 14. Payments totaling $3.300,000 from eredit customers related to transaction 12 were received R..ired: dn-process inventory, finished goods inventory, manufecturing rine overhead COMPREHENSIVE CASES 43. Journal Entries, Closing Manufacturing Overhead, and Preparing an Income Statement a. and b. Raw Materials Inventory beg. bal. (1) purchase end. bal 500,000 300,000 380,000 420,000 to production (2) Work in Process Inventory Finished Goods Inventory 3 Manufacturing Overhead 24 5 26 27 29 Cost of Goods Sold 30 31 32 33 b. (1) PREHENSIVE CASES (continued) Journal Entries, Closing Manufacturing Overhead, and Preparing an Income Statement b. (continued) 1,800,000 (8) Work in process inventory 1,800,000 Manufacturing overhead (10) (11) (12) Cost of Goods Sold (13) 2,570,000 2,570,000 Finished Goods Inventory (14) c. (15) Cost of Goods Sold Manufacturing overhead 120,000 120,000 d. Jansen, Inc. Income Statement Year Ended December 31, 2016 Sales Cost of goods sold Gross profit Less operating (nonmanufactturing) expenses Selling General and administrative $1.110,000 Operating profit