The Kwanika Co. operations in a just-in-time (JIT) manufacturing environment. During 2011, its first year of operations, Kwanika budgeted for 40,000 hours in the production of 100,000 units in its cell X-22. Material costs were $7 per unit. Cell X-22 conversion costs were budget for the year as follows: During January, material for 8, 400 units was purchased on account. There were 8, 200 units manufactures and 8,000 were sold shipped to customers for $35 each. Journalize: the material purchase; the application of conversion costs; the transfer form work in process to finished goods; and the sales and associated cost of goods sold for the month of January. From the above schedule, calculate the value-added and non-value-added costs. From the above schedule, calculate the prevention and appraisal costs. From the above schedule, calculate the internal failure costs. From the above schedule, calculate the external failure costs. From the above schedule, compute the percentage of non-value-added activities