nufacturing t Mighty Stars produces stars for elementary teachers to reward Stars' trial balance on June l P17-32A Preparing comprehensive accounting for manufa MIGHTY STARS Trial Balance June 1, 2018 Debit 5 14,000 160,000 Credit Account Title Cash Accounts Receivable Inventories: 6,000 40,000 20,400 220,000 Raw Materials Work-in-Process Finished Goods Property, Plant, and Equipment Accumulated Depreciation Accounts Payable Wages Payable Common Stock Retained Earnings Sales Revenue Cost of Goods Sold Manufacturing Overhead Selling and Administrative Expenses Totals s 75,000 134,000 2,600 139,000 109,800 0 $460,400 $ 460,400 June I balances in the subsidiary ledgers were as follows: Raw Materials Inventory subsidiary ledger: Paper, $4,000, indirect materials, $2,00 . Work-in-Process Inventory subsidiary ledger: Job 120, $40,000, Job 121,s0 Finished Goods Inventory subsidiary ledger: Large Stars, $9,900; Small Stars $10,500 June transactions are summarized as follows: a. Collections on account, $145,000. b. Selling and administrative expenses incurred and paid, $32,000. c. Payments on account, $39,000. d. Materials purchases on account: Paper, $24,00, indirect materials, S4.200. e. Materials requisitioned and used in production: Job 120: Paper, $950 Job 121: Paper, $7,900 Indirect materials, $1.200 incurred during June, $39,000. Labor time records for the month: Job 120, e. ob 121, $17,000, indirect labor, $18,400. $3, aid in June include the balance in Wages Payable at May 31 plus $36,100 of 8wages incurred during June. h Depreciation on plant and equipment, $2,500. nufacturing overhead allocated at the predetermined overhead allocation rate of 80% of direct labor costs. obs completed during the month: Job 120 with 700,000 Large Stars at a total cost of $47,430. k Sales on account: all of Job 120 for $104,000. Adjusted for overallocated or underallocated manufacturing overhead. Requirements 1. Journalize the transactions for the company 2. Open T-accounts for the general ledger, the Raw Materials Inventory subsidiary ledger, the Work-in-Process Inventory subsidiary ledger, and the Finished Goods Inventory subsidiary ledger. Insert each account balance as given, and use the ref- erence Bal. Post the journal entries to the T-accounts using the t as a reference. n letters 3. Prepare a trial balance at June 30, 2018. 4. Use the Work-in-Process Inventory T-account to prepare a schedule of cost of goods manufactured for the month of June. 5. Prepare an income statement for the month of June