Required information [The following information applies to the questions displayed below.] Marco Company shows the following costs for three jobs worked on in April. Balances on March 31 Direct materials used (in March) Direct labor used (in March) Overhead applied (March) Costs during April Direct materials used Direct labor used Overhead applied Status on April 30 Additional Information Job 306 Job 307 Job 308 $ 26,000 22,000 11,000 $ 45,000 18,000 9,000 138,000 103,000 ? Finished (sold) 220,000 $ 115,000 151,000 103,000 ? ? Finished (unsold) In process a. Raw Materials Inventory has a March 31 balance of $90,000. b. Raw materials purchases in April are $510,000, and total factory payroll cost in April is $383,000. c. Actual overhead costs incurred in April are indirect materials, $56,000; indirect labor, $26,000; factory rent, $34,000; factory utilities, $22,000; and factory equipment depreciation, $56,000. d. Predetermined overhead rate is 50% of direct labor cost. e. Job 306 is sold for $650,000 cash in April. a. Materials purchases (on credit). b. Direct materials used. c. Direct labor used (and paid in cash) and assigned to Work in Process Inventory. d. Indirect materials used and assigned to Factory Overhead. e. Indirect labor used (and paid in cash) and assigned to Factory Overhead. f. Overhead costs applied to Work in Process Inventory. g. Actual other overhead costs incurred (Factory rent and utilities are paid in cash.) h. Transfer of Jobs 306 and 307 to Finished Goods Inventory. i. Cost of goods sold for Job 306. . Revenue from the sale of Job 306 received in cash. k. Close underapplied or overapplied overhead to the Cost of Goods Sold account. 3. Prepare journal entries for the month of April to record the above transactions. Answer is complete but not entirely correct. 1 No a. Transaction General Journal Raw materials inventory Accounts payable Debit Credit 510,000 510,000 2 b. Work in process inventory Raw materials inventory 473,000 473,000 3 C. Work in process inventory 357,000 Cash 357,000 4 d. Factory overhead 56,000 Raw materials inventory 56,000 5 e. Factory overhead 26,000 Cash 26,000 6 f. Work in process inventory 178,500 Factory overhead 178,500 7 g. Factory overhead 112,000 7 g. Factory overhead Cash Accumulated depreciation-Factory equipment 112,000 56,000 56,000 8 h. Finished goods inventory Work in process inventory 621,000 621,000 9 i. Cost of goods sold Finished goods inventory 650,000 650,000 10 j. Cash Sales 650,000 650,000 11 k. Cost of goods sold 14,000 Factory overhead 14,000 5-a. Compute gross profit for April. 5-b. Show how the three inventory accounts are reported on the April 30 balance sheet. Complete this question by entering your answers in the tabs below. Req 5A Req 5B Compute gross profit for April. Gross profit < Req 5A Req 5B > 5-a. Compute gross profit for April. 5-b. Show how the three inventory accounts are reported on the April 30 balance sheet. Complete this question by entering your answers in the tabs below. Req 5A Req 5B Show how the three inventory accounts are reported on the April 30 balance sheet. Raw materials Work in process Finished goods Total inventories Inventories $ 510,000 269,500 $ 779,500 < Req 5A Req 5B >