QUESTION 7 Heaven started using the direct materials to make cakes O Debit Work-In-Process Inventory, Credit Raw Materials Inventory $2,179 O Debit Raw Materials Inventory, Credit Work-In-Process Inventory $2,179 O Debit Manufacturing Overhead; Credit Raw Materials Inventory $2,179 O Debit Raw Materials Inventory, Credit Manufactring Overhead $2,179 O Debit Work-In-Process Inventory, Credit Raw Materials Inventory $2,329 O Debit Raw Materials Inventory; Credit Work-In-Process Inventory $2,329 O Debit Manufacturing Overhead; Credit Raw Materials Inventory $2,329 O Debit Raw Materials Inventory: Credit Manufactring Overhead $2,329 O Debit Work In Process Inventory, Credit Manufacturing Overhead $150 O Debit Raw Materials Inventory, Credit Manufacturing Overhead $150 ABLE 1:COST INFORMATION Item and Ingredients Conventional oven Cost Standard per Cake $6,000 (depreciated over 5 n/a years on a Straight-Line basis No salvage value) Refrigerator Baking pans, licenses Baking flour Eggs Sugar Baking soda Butter Raisins Others (currants, diced date, nutmeg, molasses)$30 for all 4 boxes per month Cash Register S0 (provided by the landlord) SO (paid for by dad) $24 per 8 pounds bag1 $2 per dozen $15 per 25 pounds bag 1 pound $6 per 14 pounds box $6.50 per 4 pounds $8 per 2 pounds 1 pound pound $12 per month (rental for 2 Rum (alcohol) $12 per bottle quarter of bottle Utilities (includes gas, electric $50 per month and water) Mobile phone (business) Salary- Heaven Salary -nieces Salary-aunt Accountant Rent Estimated MOH $50 per month 1 person 1.5 hours per cake Cake $8 per hour $100 per month $100 per month $600 per month $4.00 per cake us suppliers in order to determine her cost structure. She added cost data to aced an initial deposit of $10,000 of January, the business used 200 eggs and had 4 bad eggs to dispose of during the month. 20 baking soda boxes Heaven spent the month of December talking to various the information in Table 1 or Heavenly Creations, Inc. opened for business on January 1, 201X as planned and Heaven p cash into the business ingredients and $150 of indirect ingredients on account for the cakes. During the pounds of fiour, 200 pounds of sugar, 67 dozen 200 pounds of butter, 100 pounds of raisins, 50 bottles of rum, and the other ingredients (one box or e Manufacturing overhead is applied to production at 4 dollars per cake. Heaven paid cash for the p . First, Heaven made a purchase to stock her inventory. Heaven pue of of each for a total of four) urchase of the oven and all the nieces worked 300 hours in total for the morth, danuary was a very good month for the bakery since it baked 200 leve spas paid in full at month-end. Heaven's Raw Material physical periodic inventory count resulted in an Inventory level valued at zero at month-end. The supplier was paid in full at Required: Use Table 3 to record and post the Heavenly Creations, Inc. January transactions using the General Journal and the provided T-accounts (round all calculations to 2 decimal places) All other costs such as utilities, must be accounted for in the T- accounts provided (assume such transactions where applicable, are paid in cash). Table 4 shows the Chart of Accounts for Heavenly Creations, Inc. QUESTION 7 Heaven started using the direct materials to make cakes O Debit Work-In-Process Inventory, Credit Raw Materials Inventory $2,179 O Debit Raw Materials Inventory, Credit Work-In-Process Inventory $2,179 O Debit Manufacturing Overhead; Credit Raw Materials Inventory $2,179 O Debit Raw Materials Inventory, Credit Manufactring Overhead $2,179 O Debit Work-In-Process Inventory, Credit Raw Materials Inventory $2,329 O Debit Raw Materials Inventory; Credit Work-In-Process Inventory $2,329 O Debit Manufacturing Overhead; Credit Raw Materials Inventory $2,329 O Debit Raw Materials Inventory: Credit Manufactring Overhead $2,329 O Debit Work In Process Inventory, Credit Manufacturing Overhead $150 O Debit Raw Materials Inventory, Credit Manufacturing Overhead $150 ABLE 1:COST INFORMATION Item and Ingredients Conventional oven Cost Standard per Cake $6,000 (depreciated over 5 n/a years on a Straight-Line basis No salvage value) Refrigerator Baking pans, licenses Baking flour Eggs Sugar Baking soda Butter Raisins Others (currants, diced date, nutmeg, molasses)$30 for all 4 boxes per month Cash Register S0 (provided by the landlord) SO (paid for by dad) $24 per 8 pounds bag1 $2 per dozen $15 per 25 pounds bag 1 pound $6 per 14 pounds box $6.50 per 4 pounds $8 per 2 pounds 1 pound pound $12 per month (rental for 2 Rum (alcohol) $12 per bottle quarter of bottle Utilities (includes gas, electric $50 per month and water) Mobile phone (business) Salary- Heaven Salary -nieces Salary-aunt Accountant Rent Estimated MOH $50 per month 1 person 1.5 hours per cake Cake $8 per hour $100 per month $100 per month $600 per month $4.00 per cake us suppliers in order to determine her cost structure. She added cost data to aced an initial deposit of $10,000 of January, the business used 200 eggs and had 4 bad eggs to dispose of during the month. 20 baking soda boxes Heaven spent the month of December talking to various the information in Table 1 or Heavenly Creations, Inc. opened for business on January 1, 201X as planned and Heaven p cash into the business ingredients and $150 of indirect ingredients on account for the cakes. During the pounds of fiour, 200 pounds of sugar, 67 dozen 200 pounds of butter, 100 pounds of raisins, 50 bottles of rum, and the other ingredients (one box or e Manufacturing overhead is applied to production at 4 dollars per cake. Heaven paid cash for the p . First, Heaven made a purchase to stock her inventory. Heaven pue of of each for a total of four) urchase of the oven and all the nieces worked 300 hours in total for the morth, danuary was a very good month for the bakery since it baked 200 leve spas paid in full at month-end. Heaven's Raw Material physical periodic inventory count resulted in an Inventory level valued at zero at month-end. The supplier was paid in full at Required: Use Table 3 to record and post the Heavenly Creations, Inc. January transactions using the General Journal and the provided T-accounts (round all calculations to 2 decimal places) All other costs such as utilities, must be accounted for in the T- accounts provided (assume such transactions where applicable, are paid in cash). Table 4 shows the Chart of Accounts for Heavenly Creations, Inc