Question #3 (7 marks) Allenton Company is a manufacturing firm that uses job-order costing. At the beginning of the year, the company's inventory balances were as follows: Raw materials $26,000 $47,000 Work in process Finishod goods $133,000 The company applies overhead to jobs using a predetermined overhead rate based on that it would work machine hours. At the beginning of the year, the company est cost. The company 31,000 machine hours and incur $248,000 in manufacturing o always deals th cash (don't use A/P or A/R). The following transactions were recorded for the year: 248oes8 Pao materials 4,0s a.) Raw materials purchased: $411,000. ba Raw materials requisitioned for use in production: $409,000 65388.000 direct an $21,000 indirect). c) The following employee costs were incurred: Direct labour $145,000 Indirect labour: $61,000 Administrative salaries: $190,000 d.) Selling costs$148.000. e.) Factory utility costs: $12,000. f.) Depreciation for the year: $121,000, of which $114,000 is related to factory operations and $7,000 is related to selling and administrative activities. g.) Manufacturing overhead was applied to jobs. The actual level of activity for the year was 29,000 machine hours. h.) Cost of goods manufactured for the year: $783,000. i.) Sales for the year: $1,107,000, the costs on the job cost sheets of the goods that were sold: $768,000. j.) The balance in the Manufacturing Overhead account was closed out to Cost of Goods Sold. er Required: 1- Prepare the appropriate journal entry or indicate if there is an increase or decrease in the accounts for each of the items above (a. through j.). All transactions witlh employees, customers, and suppliers were conducted in cash. cash aw nataiels