Problem 3-26 Journal Entries; T-Accounts, Financial Statements [LO3-1, LO3-2, LO3-3, LO3-4, LO3-5, LO3-6, LO3-7 Froya Fabrikker A/S 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 and 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 $336,000 of manufacturing overhead for an estimated allocation base of 1,050 direct labor-hours. The following transactions took place during the year (all purchases and services were acquired on account) a. Raw materials purchased for use in production, $245,000 b. Raw materials requisitioned for use in production (all direct materials), $230,000 c. Utility bills were incurred, $68,000 (85% related to factory operations, and the remainder related to selling and administrative activities). d. Salary and wage costs were in curred: Direct labor (1,125 hours) Indirect labor Selling and administrative salaries S 275,000 S 99,000 $155,000 e. Maintenance costs were incurred in the factory, $63,000. f. Advertising costs were incurred, $145,000 g. Depreciation was recorded for the year, $81,000 (70% related to factory equipment, and the remainder related to selling and administrative equipment) h. Rental cost incurred on buildings, $106,000 (75% related to factory operations, and the remainder related to selling and administrative facilities). i. Manufacturing overhead cost was applied to jobs, ? j. Cost of goods manufactured for the year, $860,000 k. Sales for the year (all on account) totaled $1,650,000. These goods cost $890,000 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 $39,000 $ 30,000 $69,000 Required: 1.Prepare journal entries to record the above data. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)