Please do not copy the other answers.

8 P19-348 WireComin manufactures specialized components used in wireless com- munication. Initially, the company manufactured the components for its own use, but it gradually began selling them to other wireless companies as well. The trial balance of Wire Comm's manufacturing operations on January 1, 2009, is as follows: WIRECOMMMANUFACTURING OPERATIONS Taal Balance Jantaty 1.2009 Balance Account Title Debit Credit Cash 5147,000 Accounts receivable 18.000 leventos Materials 17.000 Work in process 44,000 Finished goods 61,000 Plantat 353,000 Accumulated depreciation $157,000 Accounts payable $4,000 Wages payable 3.500 Commen ock 225,000 Retained earning 23,500 Sales teves Cost of goods sold Manufacturing wages Manufacturing overhead Marketing and general capenses 5710,000 $710.000 January 1 balances in the subsidiary ledgers were: Materials ledger: electronic parts, $15,300; indirect materials, $1,700. Work in process ledger: Job 90, $44,000. Finished goods ledger: transmitters, 838,000, power supplies, $23,000. January transactions are summarized as follows: a. Payments on account, $81,000. b. Marketing and general expenses incurred and paid, $22,000. c. Collections on account, $195,000. d. Materials purchased on credit: electronic parts, 549,000, indirect materials, 56,000. e. Materials used in production (requisitioned): Job 90: electronic parts, $4,000. Job 91: electronic pares, $38,000. Indirect materials, 57,000. continued... 8/11 f. Manufacturing wages incurred during January, $56,000, of which $50,500 was paid. Wages payable at December 31 were paid during January, 55,500. 8. Labor time records for the month: Job 90, $6,000; Job 91, $28,004 indirect labor, $22,000. h. Depreciation on manufacturing plant and equipment, $7,500. i. Manufacturing overhead was allocated at the predetermined rate a 120% of direct labor cost. 1. Jobs completed during the month: Job 90, 1,000 transmitters, at total cost of $61,200. k. Credit sales on account: all of Job 90 for $125,000. 1. Close the Manufacturing Overhead account to Cost of Goods Sold. Requirements 1. Open T-accounts for the general ledger, the materials ledger, the work in process ledger, and the finished goods ledger. Insert each account balance as given, and use the reference Bal. (pp. 965-967) 2. Record the January transactions directly in the accounts, using the letters as references. WireComm uses a perpetual inventory system. (pp. 965-967) 3. Prepare a trial balance at January 31. 4. Use the Work in Process T-account to prepare a schedule of cost of goods manufactured for the month of January. (You may want to review Exhibit 18-10.) 5. Prepare an income statement for the month of January. To calculate cost of goods sold, you may want to review Exhibit 18-7. (Hint: In transaction l, you closed any under overallocated manufacturing overhead to Cost of Goods Sold. In the income statement, show this correction as an adjustment to Cost of Goods Sold. If manufacturing overhead is underallocated, the adjustment will increase Cost of Goods Sold. If overhead is overallocated, the adjustment will decrease Cost of Goods Sold.)