Suprene Videos, incorporated, produces short musical videos for sale to retall outlets. The company's balance sheet accounts as of January 1 . are given below. Because the videos differ in length and in complexity of production, the company uses a job-order costng 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 predetetmined ovethead rate for the year is based on a cost foimula that estimated $282.000 in manufacturing overhead for an estimated allocation base of 6.000 camera-hours. The following transactions occucred during the year. 0. Filin, costurnes, and sim lar taw mitereats purchased on account, 9193,000 , b. Film, costumes, and other raw mateiols used in production. $208,000 ( 80% of this materal was cansidered direct to the videos in production, and the other 20% was conkidered indirect) c. Utility cost incurred in the production studio, 480,000 d. Depreciation recorded on the studio, cameras, and other equipanent, \$92000. Three. fourths of this depieciation teiated to production of the viceos, and the iemainder ielated to equpment used in makketing and administration e Advertising expense incurred on account $138,000 f. Costs for salaries and wages weie incuned as follows 9. Prepaid insurance expired during the year, $7,800(75% related to production of videos, and 25% related to marketing and administrative activities) h. Miscellaneous marketing and administrative expenses incurred, $9,400 1. Studio (manufacturing) overhead was applied to videos in production. The company used 7,500 camera-hours during the year. J. Videos that cost $558,000 to produce according to their job cost sheets were transferred to the finished videos warehouse to awat sale and chipment. k. Sales for the year totaled $941,000 and were all on account. The total cost to produce these videos according to their job cost sheets was $608,000. 1. Collections from customers during the year totaled $858.000 m. Payments to suppliers on account during the year, $508,000; payments to employees for salaries and woges, $293,000 Required: 1 Prepare a T-account for each account on the company's balance sheet and enter the beginning balances. 2 Record the transactions directly into the T-accounts. 3. Is the Studio (manufacturing) Overhead account underapplied or overapplied for the year? By how much? 4. Prepare a schedule of cost of goods manufactured 5. Prepare a schedule of cost of goods sold. 6. Prepare an income statement for the year