Star Videos, Inc, produces short musical videos for sale to reteil outlets. The given below company's balance sheet accounts as of January are 7.5 paints Star Videos, Inc. Balance Sheet January 1 Assets Cash Accounts receivable Inventories: $ 74,880 112,480 Raw materials (film, costumes) Videos in process $43,680 54,600 Finished videos awaiting sale Prepaid insurance Studio and equipment (net) Total assets Liabilities and Stockholders' Equity 91,489189,6ee 11,850 1,007,650 238,000 619,80 Accounts payable References Retained earnings Total liabilities and stockholders equity 769,650 $1,007,65e Because the videos differ in length and in complexity of production, the company uses a job-order costing system to determine the cost of eoch video produced Studio (manufacturing) overheed 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 closec 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 producton, $236,500 (85% of this material was considered dred to the videos in production, and the other 15% was considered indirect) C. Utility costs incurred (on accound) in the production studio, $95,400. on the studio, cameras, and other equipment, $101,200. Th production of the videos, and the remainder related to e Advertising expense incurred (on account)$146,000 f Salaries and wages paid in cash as follows equipment used in marketing and administration