number 1 is answered.
Ravsten Company uses a job-order costing system. On January 1, the beginning of the current year, the company's inventory balances were as follows: The company applies overhead cost to jobs on the basis of machine-hours. For the current year, the company estimated that it would work 36,700 machine-hours and incur $168,820 in manufacturing overhead cost. The following transactions were recorded for the year a. Raw materials were purchased on account: $214,000. b. Raw materials were requisitioned for use in production: $197,000 (80\% direct and 20% indirect). c. The following costs were incurred for employee services: d. Heot, powet, and water costs were incurred in the factory: $45,150. e. Prepaid insurance explred during the year: $13.500 (85\% relates to factory operations, and 15% relates to seiling and administrative activities). 1. Advertising costs were incurred, $53,500. g. Depreciation was recorded for the year: $64,200 (90\% reiates to factory operations, and 10% reiates to selling and administrative) activities). 9. Depreciation was recorded for the year: $64,200 (90\% relates to foctory operations, and 10% relates to selting and administrative Bctivities). h. Manafacturing overhead cost was applied to production. The company recorded 41,400 machine-hours for the yeat. 4. Goods that cost $510,900 to manufacture according to their job cost sheets were transferted to the finished goods warehouse. j. Sales for the year totalled $732.500 and were all on account. The total cost to manufacture these goods according to their job cost sheets was $504,500. Required: 1. Prepare joutnal entries to record the transactions given above. (Do not round intermediate calculations. If no entry is required for a transaction/event, select "No journal entry required" in the fitst account field.). 2. Prepare T-accounts for inventories, Manufacturing Overhead, and Cost of Goods Sold. Post relevant data from your journal entries to these T-accounts (don't forget to enter the opening balances in your inventory accounts). Compute an ending balance in each account, 3.a. is manufacturing overhead underapplied or overapplied for the year? Underapplied overhead Overapplied overhead 3-b. Prepare a joumal entry to properly dispose of any balance in the Manufocturing Overhead account. (Do not round intermediate calculations and round your final answers to nearest whole dollar amount. If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet Record the entry to properly dispose of any balance in the Manufactuthg Overhead account. Noce inuf cebits before croulti. 4. Prepare an income statement for the yeat, (Do not round intermediate calculations and round your final answers to nearest whole dollar amount.)
