Problem 3-15 (Algo) Journal Entries; T-Accounts; Financial Statements [LO3-1, LO3-2, LC Froya Fabrikker A/S of Bergen, Norway, is a small company that manufactures specialty heavy equipment for use fields. The company uses a job-order costing system that applies manufacturing overhead cost to jobs on the bas hours. Its predetermined overhead rate was based on a cost formula that estimated $388,800 of manufacturing c estimated allocation base of 810 direct labor-hours. The following transactions took place during the year. a. Raw materials purchased on account, $295,000 b. Raw materials used in production (all direct materials). $280,000. c. Utility bills incurred on account, $78,000 (95% related to factory operations, and the remainder related to sellin activities). d. Accrued salary and wage costs: Direct labor (890 hours) Indirect labor Selling and administrative salaries $325,000 $ 109,000 $ 205,000 e. Maintenance costs incurred on account in the factory, $73,000 f. Advertising costs incurred on account, $155,000 g. Depreciation was recorded for the year, $91,000 (80% related to factory equipment, and the remainder related t administrative equipment). h. Rental cost incurred on account, $105.000 (85% related to factory facilities, and the remainder related to selling