Question 1: Tata Motors produces trucks for commercial use. The company uses a normal job order costing system to calculate its cost of goods manufactured. On January 01, 2019, there was only one job in process with the following costs: Job A-1 Direct materials $5,000 Direct labour 15,000 Applied overhead 21,000 Total $41,000 The following balances were taken from the general ledger of the company as of January 1, 2019 Direct materials inventory $35,000 Finished goods inventory (for Job D-1) $65,000 During the year 2016, the following events occurred: Direct materials were purchased on account for $275,000 Two more jobs were started: Job B-1 and Job C-1. Direct materials and direct labour costs incurred by each job in process during the year 2019 are as follows: Job A 1 Job B-1 Job C-1 Direct Materials $150,000 $30,000 $10,000 Direct Labour $150,000 $35,000 $15,000 The company incurred the following actual factory overhead during the year: Factory rent $120,000 Factory supplies $ 45,500 Indirect labour $ 75,750 Jobs A-1 and B-1 were completed, and Jobs D-1 and A-1 were sold. Calculate the total applied overhead for the year 2019 if the factory overhead costs are applied to each job on the basis of direct labour dollars. 12 Marks) b. Determine whether overhead is over-applied or under-applied. By how much? [2 marks] Prepare simple job order cost sheets for jobs A-1, B-1, and C-1. [3 Marks] d. Prepare a schedule of cost of goods sold, identifying both normal and adjusted cost of goods sold, for the year ended December 31, 2019. (6 Marks)