Star Videos, Inc, produces short musical videos for sale to retail outlets. The company's balance sheet accounts as of January 1 are glven below. 74,800 112,400 Star Videos, Inc. Balance sheet January 1 Assets Cash Accounts receivable Inventories Raw materials (film, costumes) Videos in process Pinimbed videos awaiting sale Prepaid insurance Studio and equipment (net) Zotal assets Liabilities and stockholders' Equity Accounts payable Retained earnings Total liabilities and stockholders equity $43,600 54,600 91,400 189,600 11,850 619,000 $1.007.650 $ 238,000 769,650 $1,007,659 Because the videos differ in length and in complexity of production, the company uses a job order costing system to determine the cost of each video produced. Studio (manufacturing) overhead is charged to videos on the basis of camera-hours of activity. The company's predetermined overhead rate for the year ($40 per camera-hour) is based on a cost formula that estimated $280,000 in manufacturing overhead for an estimated allocation base of 7000 camera hours. Any underapplied or overapplied overhead is closed to cost of goods sold. The following transactions were recorded for the year a. Film, costumes, and similar raw materials purchased on account, $198.000. b. Film, costumes, and other raw materials issued to production, $236,500 (85% of this material was considered direct to the videos in production, and the other 15% was considered indirect). c. Utility costs incurred (on account in the production studio. $95.400. 1. Depreciation recorded on the studio, cameras, and other equipment, $101.200. Three-fourths of this depreciation related to actual production of the videos, and the remainder related to equipment used in marketing and administration e. Advertising expense incurred (on account), $146.000. 1. Salaries and wages paid in cash as follows: Direct Labbe (ACLEU and directora) Indirect labor carpenters to balld sets, costume $103.400 70.000 Administrative salaries $112,400 the year. g. Prepaid insurance expired during the year, $11,000 (70% related to production of videos, and 30% related to marketing and administrative activities). h. Miscellaneous marketing and administrative expenses incurred (on account). $12.950, 1. Studio (manufacturing) overhead was applied to videos in production. The company recorded 7.250 camera-hours of activity during J. Videos that cost $586,000 to produce according to their job cost sheets were transferred to the finished videos warehouse to awalt sale and shipment. k. Sales for the year totaled $1,114,000 and were all on account 1. The total cost to produce the videos that were sold according to their job cost sheets was $632,470. m. Collections from customers during the year totaled $1,064,000, n. Payments to suppliers on account during the year, $614,000. o. Underapplied or overapplied overhead $_2 Required: 1. Prepare a transaction analysis that records all of the above transactions. Calculate the ending balances at December 31 for all balance sheet accounts. 2. Prepare a schedule of cost of goods manufactured for the year. 3. Prepare a schedule of cost of goods sold for the year. 4. Prepare an income statement for the year. Required 1 Required 2 Required 3 Required 4 Prepare a transaction analysis that records all of the above transactions. Calculate the ending balances at December 31 for all balance sheet accounts. (Amounts to be deducted should be indicated by So Transaction Analysis For the Year End December Cash Accouets Videos in Finished Manufacturing Praia Acco Receivable Preces Videos EU Overhead Insurance Beginning betare s 74,500 $ 112.400 43.000 s 54.500 5 91,400 11,850 S 619.000 S 258.000 5 TO (a) Raw material purchases b) Raw materials used (e) Utility Depreciation charges (0) Advertising Salaries & wages (a) Prepaid insurance Miscellaneous marketing 10) Apped overhead 0 Transfer completed videos to fed goods 100 Sales 00 Ter finished goods to cost of goods sold (m) Cash collections from custom Payment to suppliers (ol Ending balances 12/31 2. Prepare a schedule of cost of goods manufactured for the year. 3. Prepare a schedule of cost of goods sold for the year. 4. Prepare an income statement for the year. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Prepare a schedule of cost of goods manufactured for the year. Star Videos, Inc. Schedule of Cost of Goods Manufactured For the Year Ended December 31 Total manufacturing costs Cost of goods manufactured Required Required: 1. Prepare a transaction analysis that records all of the above transactions. Calculate the ending balances at December balance sheet accounts. 2. Prepare a schedule of cost of goods manufactured for the year. 3. Prepare a schedule of cost of goods sold for the year. 4. Prepare an income statement for the year. d Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Prepare a schedule of cost of goods sold for the year. Star Videos, Inc. Schedule of Cost of Goods Sold For the Year Ended December 31 nices Required 2 Required 4 > Required: 1. Prepare a transaction analysis that records all of the above transactions. Calculate the ending balances at December 31 for all balance sheet accounts. 2. Prepare a schedule of cost of goods manufactured for the year. 3. Prepare a schedule of cost of goods sold for the year. 4. Prepare an income statement for the year. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Prepare an income statement for the year, Star Videos, Inc. Income Statement For the Year Ended December 31