Olivia Benson Company has a job order system. The company applies overhead to jobs using a predetermined overhead rate based on direct labor cost. Revenue for the last year is $69,000. The information below has been taken from the cost records of Benson Company for the past year:

Direct materials used in production 12000 Manufacturing overhead applied 14000 administrative expenses 5000 Direct labor 7000 Actual manufacturing overhead 14500 selling expenses 3000 Inventories: Raw Materials, January 1 2000 Raw Materials, (December 31) 3000 Work in process, (January 1) 3500 Work in process, (December 31) 4600 Finished Goods, (January 1) 8400 Finished Goods, (December 31) 7200

Template to solve it.

Olivia Benson Problem (20 points) Use the given for the problem identified as Olivia Benson and fill in the answer below: Calculate the cost of raw materials purchased (there is no indirect material in this problem) Compute cost of goods manufactured Compute cost of goods sold Prepare an income statement for Olivia (close OH to COGS)