Problem 5.26 ournal Entries, T-Accounts, Cost of Goods Manufactured and Sold During May, the following transactions were completed and reported by Jerico Compamy: a. Materials purchased on account, $60,100. b. Materials issued to preduction to fill job-order requisitions: direct materials, $50,000; indirect materials, $8,800. c. Payroll for the month: direct labor, S75,000; indirect labor, $36,000; administrative, S28,000; sales, $19,000. d. Depreciation on factory plant and equipment, $10,400. e. Property taxes on the factory accrued during the month, $1,450. f Insurance on the factory expired with a credit to the prepaid insurance account, $6,200 g. Factory ubilities, $5,500. h. Advertising paid with cash, $7,900. i. Depreciation on office equipment, $800; on sales vehicles, $1,650 J. Legal fees incurred but not yet paid for preparation of lease agreements, $730 k. Overhead is charged to production at a rate of $18 per direct labor hour. Records show 4,000 direct labor hours were worked during the month L. Cost of jobs completed during the month, $160,000. The company also reported the folloning beginning balances in its inventory accounts: Materials Inventory s 7,500 37,000 Work-in-Process Inventory Finished Goods Iaventory 50,000 Web Sice Gelery ?? Syndoub @penon ? occo-oco ocoweomr mocco econen tu o wear tt Arm.h ndsnes I Type here to search