Question:

Jordan Construction Company began operations on January 1, Year 1, when it acquired $16,000 cash from the issuance of common stock. During the year, Jordan purchased $2,900 of direct raw materials and used $2,600 of the direct materials. There were 112 hours of direct labor worked at an average rate of $6 per hour paid in cash. The predetermined overhead rate was $2.00 per direct labor hour. The company started construction on three prefabricated buildings. The job cost sheets reflected the following allocations of costs to each building.

	Direct Materials			Direct Labor Hours
Job 1	$	400		32
Job 2		1,200		48
Job 3		1,000		32

The company paid $55 cash for indirect labor costs. Actual overhead cost paid in cash other than indirect labor was $157. Jordan completed Jobs 1 and 2 and sold Job 1 for $1,316 cash. The company incurred $140 of selling and administrative expenses that were paid in cash. Over- or underapplied overhead is closed to Cost of Goods Sold.

Required

1. a. Record the preceding events in a horizontal statements model. The first event for Year 1 has been recorded as an example.

2. c. Record the closing entry for over- or underapplied manufacturing overhead in the horizontal statements model, assuming that the amount is insignificant.

3. d. Prepare a schedule of cost of goods manufactured and sold, an income statement, and a balance sheet for Year 1.

Any help is appreciated!

Perez Manufacturing Corporation was started with the suance of common stock for $68,000 purchased $7200 of raw materials and worked on the job orders during Year for which das follow. Assume that all transactions are for cash unless otherwise indicated) Direct was to Dob 30.000 Icb2 Job Total Factory overhead is applied using a predetermined overheed rate of $0.60 per direct lader dollar Jobs 2 and 3 were comited during the period and Job 3 was sold for $10.760 cash. Porez paid $400 for solting and administrave expenses. Actual factory overhead was $5.20 Required a Record the preceding events in a horizontal statements model. The fest event for your has been recorded as an example, c. Record the closing entry for over- or under polied manufacturing overhead in the hortzontal statements model asuming that the d. Prepare a schedule of cost of goods manufactured and sold, an income sumert, and a balance sheet for your Complete this question by entering your answers in the tabs below. COM Record the preceding event horisontal statements model. Record the dang entry for over or underapplied manufacturing overhead in the horizontal statement model numing that the amount is significat. The first event for year has been recorded as an emple. Recorded Enterces of each and Enter any decreases to combines with an Cash Overhead Raw Mata Werks Process Fished Goods Equity Cow Stock Retained 05.000 Revere Expense - Net Income 60.000 7.1001 - . - - - 10.750 400 151201 - - Red And RDCOM Sched Reginc St Real Sheet - - al Prepare a schedule of cost of goods manufactured and sold PEREZ MANUFACTURING CORPORATION Cost of Goods Manufactured and sold for Year 1 Beginning raw materials inventor Purchases Raw materials available Ending raw materials inventory Raw materials used B.140 65.000 0- Reg DCOM Sched > Tot atufacturing costs Red A and Rey D CGM Sched Regin Reg D Bal Sheet Total work in process inventory Prepare an income statement for Year 1. Cost of goods manutactured PEREZ MANUFACTURING CORPORATION Income Statement for Year 1 Goods available Cost of goods sold Sor (Reg DCGM Sched ReqD Bal Sheet > Power banoret for PORCAN CONSTRUCTION.COM