WEEK FOUR: CHAPTER SEVEN HOMEWORK i Saved 1 Exercise 7-42 (Algo) Job Costing in a Service Organization (LO 7-4) 25 points Allocation Busters (AB) is a dispute mediation firm offering services to firms in disputes about cost allocations with government agencies. For March, AB worked 446 hours for Massive Airframes and 679 hours for Gigantic Drydocks. AB bills clients at the rate of $503 per hour; labor cost for its professional staff is $220 per hour. Overhead costs in March totaled $41,080. Overhead is applied to clients at $40 per labor-hour. In addition, AB had $198,400 in marketing and administrative costs. All transactions are on account. All services were billed. eBook Transaction Description (a) Record Labor cost (b) Record Applied Service Overhead (c) Record Cost of services billed (d) Record Actual Service Overhead Print References Required: a. Show labor and overhead cost flows through T-accounts. b. Prepare an income statement for the company for March. Complete this question by entering your answers in the tabs below. Required A Required B WEEK FOUR: CHAPTER SEVEN HOMEWORK A Saved 1 Requirea: a. Show labor and overhead cost flows through T-accounts. b. Prepare an income statement for the company for March. Complete this question by entering your answers in the tabs below. 25 points Required A Required B eBook Show labor and overhead cost flows through T-accounts. Wages Payable Work-In-Process Print Beg. bal. Beg. bal. End. bal. References End. bal. Cost of Services Billed Service Overhead Control Beg. bal. Beg. bal. End. bal. End, bal. Applied Service O.H. Beg. bal. End, bal.