P5-7 Ledger Accounts Covering Cost Accounting Cycle and Job Order Cost Accumulation. The books of Torrent Company show the following accouni balances as of March 1 Finished Goods .. Work in Process.. Materials Over- or Underapplied Factory Overhead.. $ 78,830 292,621 66,300 12,300 (Cr.) The work in process account is supported by the following job order cost sheets: Direct Materials Direct Labor Factory Overhead Item 80,000 Balloons 5,000 Life rafts 10,000 Life belts Job Total $ 21,430 55,240 43,860 $ 50,460 118,060 124,101 $292,621 15,230 40,450 60,875 $116,555 $13,800 22,370 19,366 204 205 206 $55,536 $120,530 During March, the following transactions occurred: (a) Purchase of materials, $41,000. (b) Purchase of special materials was $5,800 for new Job 207, which calls for 4,000 life jackets. (c) Indirect labor cost was $12,480. Direct labor was as follows: Amount Job 3,355.5 3,250.0 3,615.0 2,910.0 $26,844 22,750 28,920 20,370 204 205 206 207 (d) Materials issued: $ 9,480 11,320 10,490 16,640 Job 204 Job 205 Job 206 Job 207 Excluding $5,800 of special materials, which are also issued at this tie (e) Other factory overhead incurred or accrued (for brevity, credit the entire amoune to Various Credits): Insurance on Factory Tax on Real Estate... Depreciation-Machinery.. Depreciation-Factory Building Light Coal Used Power Repairs and Maintenance.... Indirect Supplies Miscellaneous 830.00 845.00 780.00 840.00 560.00 1,810.00 3,390.00 2,240.00 1,910.00 15,256.87 ... .. ( Factory overhead is applied at the rate of $2.30 per direct labor hour. An applied fac- tory overhead account is used and is then closed to the overhead control account. (g) Job 204 was shipped and billed at a contract price of $117,500. Required: (1) Construct ledger accounts, inserting beginning balances and entering transactions for March. (Factory overhead incurred is to be posted to the control account only.) (2) In itemized form, compute the total cost of each job at the end of March. (3) Determine the amount of over- or underapplied factory overhead remaining in the overhead control account. PS-8 Job Order Cost Cycle; General and Subsidiary L: deers: Cost of Goods Sold Statement On January 1, the general lad