Sek ces Problem 2-26A Journal Entries; T-Accounts; Financial Statements [LO2-1, LO2-2, LO2-3, LO2-4, LO2-5, LO2-6, LO2-7] Froya Fabrikker A/S of Bergen, Norway, is a small company that manufactures specialty heavy equipment for use in North Sea oil fields. The company uses a job-order costing system and applies manufacturing overhead cost to jobs on the basis of direct labor- hours Its predetermined overhead rete was based on a cost formule that estimated $351,000 of manufacturing overhead for an estimated allocation base of 900 direct labor-hours. The following transactions took place during the year (all purchases and services were acquired on account) a. Raw materials purchased for use in production, $265,000 b. Raw materials requisitioned for use in production (all direct materials), $250,000. c Utility bits were incurred, $72,000 (85% related to factory operations, and the remainder related to selling and administrative activities) d. Salary and wage costs were incurred Direct labor (980 hours) $295,000 103,000 Indirect labor $ Selling and administrative 175,000 salaries e. Maintenance costs were incurred in the factory, $67,000 Advertising costs were incurred, $149.000 g Depreciation was recorded for the year, $85,000 (70% related to factory equipment, and the remainder related to selling and administrative equipment) h. Rental cost incurred on buildings, $110,000 (75% related to factory operations, and the e. Maintenance costs were incurred in the factory. $67,000 Advertising costs were incurred, $149,000 g Depreciation was recorded for the year, $85,000 (70% related to factory equipment, and the remainder related to selling and administrative equipment). h. Rental cost incurred on buildings, $110,000 (75% related to factory operations, and the remainder related to selling and administrative facilities). 1 Manufacturing overhead cost was applied to jobs, $? J. Cost of goods manufactured for the year, $900,000. k Sales for the year (all on account) totaled $1,850,000. These goods cost $930,000 according to their job cost sheets The balances in the inventory accounts at the beginning of the year were ces Raw materials $43,000 Work in process $34,000 Finished Goods $73,000 Required: 1.Prepore journal entries to record the above data. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Required: 1.Prepare journal entries to record the above data. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 2 3 4 5 6 7 12 > Raw materials were purchased for use in production, $265,000 on account. Note: Enter debits before credits Transaction General Journal Debit Credit View general journal Record entry Clear entry Required: 1.Prepare journal entries to record the above data. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 2 3 4 5 6 7 12 Raw materials were requisitioned for use in production (all direct materials), $250,000. Note: Enter debits before credits. Transaction b General Journal Debit Credit View general journal Record entry Clear entry Required: 1.Prepare journal entries to record the above data. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 2 3 4 5 6 7 12 Utility bills were incurred, $72,000 (85% related to factory operations, and the remainder related to selling and administrative activities) Note: Enter debts before credits Transaction General Journal Debit Credit Record entry Clear entry View general journal www Save Help Required: 1Prepare journal entries to record the above data (if no entry is required for a transaction/event, select "No journal entry required" in the first account field) View transaction list Journal entry worksheet < T 2 3 4 5 Salary and wage costs incurred were $295,000 (Direct labor), $103,000 (Indirect labor), $175,000 (Selling and administrative salaries). Note: Enter bits before credits Transaction 121 General Journal Debit Credit Record entry Clear entry View general journal Seve & Exi Check Required: 1.Prepare journal entries to record the above data. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 1 2 5 6 7 12 Maintenance costs were incurred in the factory, $67,000. Note: Enter debits before dis Transaction General Journal Debit Credit Record entry Clear entry View general journal Che ces Required: 1.Prepare journal entries to record the above data (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 1 4 5 6 7 8 12 Advertising costs were incurred, $149,000. Note: Enter debits before credits Transaction General Joumal Debit Credit Record entry Clear entry View general journal Required: 1.Prepare journal entries to record the above data (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transactions Journal entry worksheet < 1 5 7 8 12 Depreciation was recorded for the year, $85,000 (70% related to factory equipment, and the remainder related to selling and administrative equipment). Note: Enter debts before credits Transaction a General Joumal Debit Credit Record entry Clear entry View general journal Required: 1.Prepare journal entries to record the above data. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 2 7 8 12 Rental cost incurred on buildings, $110,000 (75% related to factory operations, and the remainder related to selling and administrative facilities). Note: Enter debits before credits. Transaction h General Joumal Debit Credit Racord entry Clear entry View general journal 1.Prepare journal entries to record the above data. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 4 5 6 7 8 9 12 Record the entry for manufacturing overhead cost applied to jobs. Note: Enter debits before credits Transaction 4 General Journal Debit Credit Racord entry Clear entry View general journal Prau Required: 1.Prepare journal entries to record the above data. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 5 B 7 B 9 10 12 Cost of goods manufactured for the year, $900,000. Note: Enter debits before credits Transaction General Journal Debit Credit Record entry Clear entry View general journal Required: 1.Prepare journal entries to record the above data. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transactions Journal entry worksheet < 1 5 6 7 B 9 10 11 12 Sales for the year (all on account) totaled $1,850,000. Note: Enter detits before credits Transaction (1) General Journal Debit Credit Record entry Clear entry View general journal Required: 1.Prepare journal entries to record the above data. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 5 67 8 9 10 11 12 The cost of the goods sold were $930,000 according to their job cost sheets. Note: Enter debits before credits Transaction k(2) General Journal Debit Credit Record entry Clear entry View general journal