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Problem 2 Magic Lens Inc., produces high-quality MRI Scanners for health-care and education uses. The company uses a job order costing system. Because the scanners

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Problem 2 Magic Lens Inc., produces high-quality MRI Scanners for health-care and education uses. The company uses a job order costing system. Because the scanners optics require significant manual labor to ensure adherence to strict manufacturing specifications, the overhead on the basis of direct labor hours. At the beginning of 2015, the company its manufacturing overhead would be $1.960,000 and that employees would work a t company applies estimated 98,000 direct labor hours. During March, the company worked on the fllowing five jobs: Direct Materials added during March $4,000 2,500 86,400 71,800 18,990 $183,690 Direct Labor added during March $8,400 12,160 36,650 31,850 21,845 $110,905 Direct Labor Hours added during March 150 300 Beginning Job 134 158 212 287 301 ance $118,600 121,450 21,800 34,350 2,700 1,400 8,000 TOTAL $296,200 Jobs 134 and 158 were started in January, Jobs 212 and 287 were started in February, and Job 301 was started in March. During March, workers completed Jobs 134, 158, and 212. Jobs 134 and 212 were delivered to customers during March. Actual overhead for the month of March was $176,300. Required: a) Calculate the predetermined overhead rate used by Magic Lens Inc., in 2017 b) Calculate the total manufacturing cost for March. g) Calculate the total cost for each of the five jobs as of March 31. d) Calculate the cost of goods manufactured for March. e) Calculate the balance in the Work in Progress Inventory account as of March 31 f Calculate the Cost of Goods Sold for March. a) Calculate the balance in the Finished goods Inventory account as of March 31. h) Magic Lens Inc., incurred $176,300 manufacturing overhead in the month of March. Given that expenditure for overhead, was manufacturing overhead under-or over- applied in March? By how much? i) Assume that Magic Lens Inc., closes under- or over-applied overhead to the Cost of Goods Sold account. Calculate the Cost of Goods Sold amount after that adjustment

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