Mastery Problem: Job Order Costing Purl of Great Price Company Maria Young is the sole stockholder of Purt of Great Price Company (POGP Company), which produces high-end knitted sweaters and sweater vests for site to retail outlets. The company started in January of the current year, and employs three knitters (each of whom work 40 hours per week) and one office manager/Sanitting supervisor (this employee works 20 hours per week as office manager, and 20 hours per week as knitting supervisor). All wages are paid in cash at the end of each month. Fach knitter has a knitting machine that is used about 2/3 of the knitter's time, the rest of the knitter's time being involved in hand knitting and plecina together the garments. The company also has a packaging machine used to wrap the garments in plastic for shipping, which is operated by the office manager/knitting supervisor approximately 5 hours per week. The knitting machines were purchased on January 1 of the current year, and cost $2,400 each with an antidpatnd useful life of 10 years and no salvage value. The packaging machine was purchased on the same date and cost $4,800, with the same anticipated useful life and salvage value.