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ob Order Cost Accounting for a Service Company The law firm of Furlan and Benson accumulates costs associated with individual cases, using a job order

ob Order Cost Accounting for a Service Company

The law firm of Furlan and Benson accumulates costs associated with individual cases, using a job order cost system. The following transactions occurred during July:

July 3. Charged 600 hours of professional (lawyer) time to the Obsidian Co. breech of contract suit to prepare for the trial, at a rate of $200 per hour.
10. Reimbursed travel costs to employees for depositions related to the Obsidian case, $14,600.
14. Charged 300 hours of professional time for the Obsidian trial at a rate of $280 per hour.
18. Received invoice from consultants Wadsley and Harden for $46,300 for expert testimony related to the Obsidian trial.
27. Applied office overhead at a rate of $60 per professional hour charged to the Obsidian case.
31. Paid administrative and support salaries of $38,300 for the month.
31. Used office supplies for the month, $13,000.
31. Paid professional salaries of $166,600 for the month.
31. Billed Obsidian $363,600 for successful defense of the case.

a. Provide the journal entries for each of these transactions. If an amount box does not require an entry, leave it blank.

July 3 fill in the blank 8d560ff98f86051_2 fill in the blank 8d560ff98f86051_3
fill in the blank 8d560ff98f86051_5 fill in the blank 8d560ff98f86051_6
July 10 fill in the blank 8d560ff98f86051_8 fill in the blank 8d560ff98f86051_9
fill in the blank 8d560ff98f86051_11 fill in the blank 8d560ff98f86051_12
July 14 fill in the blank 8d560ff98f86051_14 fill in the blank 8d560ff98f86051_15
fill in the blank 8d560ff98f86051_17 fill in the blank 8d560ff98f86051_18
July 18 fill in the blank 8d560ff98f86051_20 fill in the blank 8d560ff98f86051_21
fill in the blank 8d560ff98f86051_23 fill in the blank 8d560ff98f86051_24
July 27 fill in the blank 8d560ff98f86051_26 fill in the blank 8d560ff98f86051_27
fill in the blank 8d560ff98f86051_29 fill in the blank 8d560ff98f86051_30
July 31 Admin. sal. fill in the blank 8d560ff98f86051_32 fill in the blank 8d560ff98f86051_33
fill in the blank 8d560ff98f86051_35 fill in the blank 8d560ff98f86051_36
July 31 Supplies fill in the blank 8d560ff98f86051_38 fill in the blank 8d560ff98f86051_39
fill in the blank 8d560ff98f86051_41 fill in the blank 8d560ff98f86051_42
July 31 Prof. sal. fill in the blank 8d560ff98f86051_44 fill in the blank 8d560ff98f86051_45
fill in the blank 8d560ff98f86051_47 fill in the blank 8d560ff98f86051_48
July 31 Billed fill in the blank 8d560ff98f86051_50 fill in the blank 8d560ff98f86051_51
fill in the blank 8d560ff98f86051_53 fill in the blank 8d560ff98f86051_54
July 31 Cost fill in the blank 8d560ff98f86051_56 fill in the blank 8d560ff98f86051_57
fill in the blank 8d560ff98f86051_59 fill in the blank 8d560ff98f86051_60

b. How much office overhead is over- or underapplied? Enter your answer as a positive number. $fill in the blank 0be1d8f43f9400f_1

c. Determine the gross profit on the Obsidian case, assuming that over-or underapplied office overhead is closed monthly to cost of services. $fill in the blank 0be1d8f43f9400f_3

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