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Morrison Company uses a job-order costing system to assign manufacturing costs to jobs. Its balance sheet on January 1 is as follows: $ 37,350 $12,200

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Morrison Company uses a job-order costing system to assign manufacturing costs to jobs. Its balance sheet on January 1 is as follows: $ 37,350 $12,200 7.300 Morrison Company Balance Sheet January 1 Assets Cash Row materials Work in process Finished goods Prepaid expenses Property, plant, and equipment (net) Total assets Liabilities and Stockholders' Equity Accounts payable Retained earnings Total liabilities and stockholders' equity 56.000 2.900 107.000 $ 200, 250 $ 14.700 During January the company completed the following transactions plovees responsible for selling a curred (on account) to support produc facturing equipment and 303 a. Purchased raw materials on account. $82,200. b. Raw materials used in production, $94,700 ($75,000 was direct materials and $19,700 was indirect materials) c. Paid $194,700 of salaries and wages in cash ($103.800 was direct labor, $43,800 was indirect labor, and $47100 was related to employees responsible for selling and administration). d. Various manufacturing overhead costs incurred (on account) to support production, $43,350. e. Depreciation recorded on property, plant, and equipment. $56.800 (70% related to manufacturing equipment and 30% related to assets that support selling and administration) f. Various selling expenses paid in cash, $37,100. g. Prepaid insurance expired during the month, $1,800 (80% related to production, and 20% related to selling and administration) h. Manufacturing overhead applied to production, $138.600. 1. Cost of goods manufactured, $299.400. j. Cash sales to customers. $409 280. k. Cost of goods sold (unadjusted) $295,200. 1. Cash payments to creditors. $64.800. m. Underapplied or overapplied overhead $? Required: 1. Calculate the ending balances that would be reported on the company's balance sheet on January 31 (Hint Be sure to calculate the underapplied or overapplied overhead and then account for its affect on the balance sheet.) 2. What is Morrison Company's net operating income for the month of January

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