Topper Inc. had the following inventories as of March 1: Finished goods.....................................$18,000 Work in process....................................17,000 Materials..............................................14,000 The work in process account currently controls three jobs: JOB 62 JOB 63 JOB 64 Materials $1800 $2400 $1700 Labor 3100 2500 1250 Applied Overhead 2680 1960 1480 Total $7580 $6860 $4430 Make the necessary journal entries concerning the operations for the month [75 points] I THINK IT WILL BE EASIER TO USE SUBSIDIARIES FOR EACH JOB THOUGH IT IS NOT NECESSARY. You need not journalize these by the job, but you can if it is easier for you.....don't forget those beginning balances above!! 1. Materials purchased and received were $24,000, terms net 30. 2. Materials requisitioned for production were $23,000. Of this amount, $2200 was indirect materials. The remaining amount was distributed as follows: $5500 to JOB 62, $7400 to JOB 63 and $7900 to JOB 64. 3. Materials returned to the storeroom from the factory amounted to $600 of which $300 was indirect and the remainder came from JOB 63. 4. Materials returned to the vendors were $100. 5. Total gross payroll for the month was $60,000. Federal income tax withheld was $7000. Union dues were $500. The FICA rate is 7.65% [.0765]. 6. Direct labor was 50% of the payroll distributed $9250 to JOB 62, $10,150 to JOB 63, and $10,600 to JOB 64. Indirect labor was 30% of the payroll, sales salaries were 10% and administrative salaries were 10%. 7. An additional 13.55% was entered for employer payroll taxes representing the employer's match of the employees FICA, FUT of .8% and SUT of 5.1%. Payroll taxes relating to both direct and indirect labor were charged to factory overhead. 8. Other factory overhead amounted to $7500. Included in the figure was $4000 for depreciation of the factory, $350 for expired factory insurance, and the remaining $3150 were on account. 9. Factory overhead was applied to production at the rate of 80% of direct labor charged on the 6th. 10. JOBS 62 and 63 were completed and sent to the finished goods warehouse.[ Don't forget the beginning balances!] 11. Both of the above JOBS were shipped and billed at a gross profit of 70% of cost of goods sold. 12. Cash collections of A/R during the month were $66,420