Stuart Construction Company began operations on January 1, 2019, when it acquired $20,000 cash from the issuance of common stock. During the year, Stuart purchased $2,800 of direct raw materials and used $2,600 of the direct materials. There were 114 hours of direct labor worked at an average rate of $7 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 Direct Labor Materials Hours Job 1 % 600 Job 21,200 Job 3 34 50 30 800 The company paid $60 cash for indirect labor costs. Actual overhead cost paid in cash other than indirect labor was $154. Stuart completed Jobs 1 and 2 and sold Job 1 for $1,596 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 a. Record the preceding events in a horizontal statements model. The first event for 2019 has been recorded as an example. b. Reconcile all subsidiary accounts with their respective control accounts. c. Record the closing entry for over- or underapplied manufacturing overhead in the horizontal statements model, assuming that the amount is insignificant. d. Prepare a schedule of cost of goods manufactured and sold, an income statement, and a balance sheet for 2019. Complete this question by entering your answers in the tabs below. Reg D Inc Reg D Ba Sched Req A to C Req D CGM Sheet Stmt Record the preceding events in a horizontal statements model. Reconcile all subsidiary accounts with their respective control accounts. Record manufacturing overhead in the horizontal statements model, assuming that the amount is insignificant. The first event for 2019 has been recor individually. Enter any decreases to account balances with a minus sign) Check my work Equity Assets Work In + Materials Process Finished Goods Common Stock' Retainecd Raw Manufacturing Overhead nue ExpensesNet Income Cash+ 20,000 20,000 2,800 (2,800) 2,600 2,600 798 (798) 60 (60) (154) 154 6,188+ 214 3,398+ 20,000 200 Prepare a schedule of cost of goods manufactured and sold for 2019 STUART CONSTRUCTION COMPANY Cost of Goods Manufactured and Sold for 2019 Raw materials available 0 Raw materials used 0 Total manufacturing costs 0 Total work in process inventory 0 Cost of goods manufactured Goods available for sale 0 Cost of goods sold 0 Req D Inc Stmt Complete this question our answers in the tabs below. Req D CGM Req D Inc Stmt Req D Bal Sheet Req A to C Prepare an income statement for 2019. STUART CONSTRUCTION COMPANY Income Statement for 2019 CGM Sched Req D CGM Req D Inc Req D Bal Stmt Req A to c Sheet Prepare a balance sheet for 2019. STUART CONSTRUCTION COMPANY Balance Sheet for 2019 Assets Total assets 0 Equity Total equity
