Problem 3-15 Journal Entries; T-Accounts; Financial Statements [LO3-1, LO3-2, LO3-3, LO3-4) Froya Fabrikker NS of Bergen, Norway, is a small company that manufactures specialty heavy equipment for use in North Sea oil fields. The company uses a job order costing system that applies manufacturing overhead cost to jobs on the basis of direct labor- hours. Its predetermined overhead rate was based on a cost formula that estimated $349,800 of manufacturing overhead for an estimated allocation base of 1,060 direct labor-hours. The following transactions took place during the year a. Raw materials purchased on account, $230,000. b. Raw materials used in production (all direct materials) $215.000. Utility bills incurred on account, $65.000 (85% related to factory operations, and the remainder related to selling and administrative activities d. Accrued salary and wage costs Direct labor (1,135 hours) Indirect labor Selling and administrative salaries $ 260,000 $ 96,000 $ 148,000 e Maintenance costs incurred on account in the factory, 560.000 f. Advertising costs incurred on account. $142.000 9 Depreciation was recorded for the year. $90,000 (75% related to factory equipment, and the remainder related to selling and h. Rental cost incurred on account. $115.000 (80% related to factory facilities, and the remainder related to selling and administrative facilities) 1. Manufacturing overhead cost was applied to jobs. $_? J. Cost of goods manufactured for the year. $830,000. k Sales for the year fall on account) totaled $1,500,000. These goods cost $860,000 according to their job cost sheets. The balances in the inventory accounts at the beginning of the year were. Raw Materials work In Process Finished Goods $36,000 $ 27,000 $ 66,000 Required: Complete this question by entering your answers in the tabs below. Reg 1 Reg 2 Req3 Reg 1 Req 48 Reg 5 Prepare journal entries to record the preceding transactions. (if no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 1 2 3 4 5 6 7 8 . 12 > The raw materials were purchased for use in production, $230,000 on account. Note: Enter debits before cred to Transaction General Journal Debit Credit Record entry Clearby View general journal Reg 2 >