Question 2 Johnson Company applies overhead to products using a plant-wide pre-determined rate of 85% of direct labor cost. Johnson Company had the following inventory balances for 2024: January 1 December 31 Direct materials $69,000 $18,000 Work in process $78,000 $93,000 Finished goods $36,000 $21,000 During 2024, Johnson Company incurred the following costs: Total manufacturing costs CEO's salary Direct materials purchased $851,000 $325,000 $208,000 Advertising Factory utilities Depreciation, copier in sales office Indirect materials $ 39,000 $ 42,000 $ 73,000 $ 17,000 Property taxes, factory building $ 11,000 Rent $ 60,000 Shipping goods to customers $ 28,000 Production supervisor's salary Sales commissions $ 62,000 $ 45,000 Sixty percent of the rent relates to the factory while forty percent of the rent relates to the administrative building. Calculate Johnson Company's total period costs for 2024. Question 2 Johnson Company applies overhead to products using a plant-wide pre-determined rate of 85% of direct labor cost. Johnson Company had the following inventory balances for 2024: January 1 December 31 Direct materials $69,000 $18,000 Work in process $78,000 $93,000 Finished goods $36,000 $21,000 During 2024, Johnson Company incurred the following costs: Total manufacturing costs CEO's salary Direct materials purchased $851,000 $325,000 $208,000 Advertising Factory utilities Depreciation, copier in sales office Indirect materials $ 39,000 $ 42,000 $ 73,000 $ 17,000 Property taxes, factory building $ 11,000 Rent $ 60,000 Shipping goods to customers $ 28,000 Production supervisor's salary Sales commissions $ 62,000 $ 45,000 Sixty percent of the rent relates to the factory while forty percent of the rent relates to the administrative building. Calculate Johnson Company's total period costs for 2024.