Froya Fabrikker A/S of Bergen, Norway, is a small company that manufactures specialty heavy equipment for...

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Froya Fabrikker A/S of Bergen, Norway, is a small company that manufactures specialty heavy equipment for use in North See oil fields. The company uses a job-order costing system that applies manufacturing overhead cost to jobs on the basis of direct labor-hours. Its predetermined overhead rate was based on a cost formula that estimated $373,700 of manufacturing overhead for an estimated allocation base of 1,010 direct labor-hours. The following transactions took place during the year Raw materials purchased on account, $255,000. b. Raw materials used in production (all direct materials), $240,000. c. Uslity bills incurred on account, $70,000 (95% related to factory operations, and the remainder related to selling and administrative activities) d. Accrued salary and wage costs: Direct labor (1,085 hours) Indirect labor Selling and administrative salaries $285,000 $101,000 $165,000 e. Maintenance costs incurred on account in the factory, $65,000 Advertising costs incurred on account, $147,000 g. Depreciation was recorded for the year, $83,000 (80% related to factory equipment, and the remainder related to selling and administrative equipment). h. Rental cost incurred on account, $108,000 (85% related to factory facilities, and the remainder related to selling and administrative facilities) L Manufacturing overhead cost was applied to jobs, $? JCost of goods manufactured for the year $880,000. Sales for the year (all on account totaled $1,750,000. These goods cost $910,000 according to their job cost sheets. The balances in the inventory accounts at the beginning of the year were Raw Materials $ 41,000 Work in Process $ 32,000 Finished Goods Required: $ 71,000 1. Prepare journal entries to record the preceding transactions. 2. Post your entries to T-accounts. (Don't forget to enter the beginning inventory balances above) 3. Prepare a schedule of cost of goods manufactured 4A. Prepare a journal entry to close any balance in the Manufacturing Overhead account to Cost of Goods Sold. 48. Prepare a schedule of cost of goods sold 5. Prepare an income statement for the year. Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 48 Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 1 2 3 4 56 7 8 12 The raw materials were purchased for use in production, $255,000 on account. Note: Enter debits before credits. Transaction General Journal Debit Credit Mc Graw the year. Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 2 3 4 5 6 7 8 The raw materials used in production (all direct materials), $240,000. Note: Enter debits before credits. 12 Transaction b. General Journal Debit Credit Mc Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 2 4 5 12 The utility bills were incurred on account, $70,000 (95% related to factory operations, and the remainder related to selling and administrative activities). Note: Enter debits before credits. Transaction General Journal Debit Credit 5. Prepare an income statement for the year. Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 2 3 5 6 7 8 The salary and wage costs accrued were $285,000 (Direct labor), $101,000 (Indirect labor), $165,000 (Selling and administrative salaries). Note: Enter debits before credits. Transaction d. 12 22 General Journal Debit Credit Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 48 Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 2 3 6 7 200 12 The maintenance costs were incurred on account in the factory, $65,000. Note: Enter debits before credits. Transaction General Journal Debit Credit Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 2 3 4 5 7 The advertising costs were incurred on account, $147,000. Note: Enter debits before credits. Transaction 12 General Journal Debit Credit Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 2 3 4 5 6 12 The depreciation was recorded for the year, $83,000 (80% related to factory equipment, and the remainder related to selling and administrative equipment). Note: Enter debits before credits. Transaction General Journal Debit Credit Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 2 3 4 5 6 7 8 12 The entry for rental cost incurred on account on buildings, $108,000 (85% related to factory facilities, and the remainder related to selling and administrative facilities). Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry View general journal Clear entry Req1 Req 2 > Mc epare income statement for the year. Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 4 5 6 7 8 9 12 The entry for manufacturing overhead cost applied to jobs. Note: Enter debits before credits. Transaction Record entry General Journal Debit Credit View general journal Clear entry Req 2 > Mc Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 ..... 5 6 7 8 9 10 12 The cost of goods manufactured for the year, $880,000. Note: Enter debits before credits. Transaction Record entry General Journal Debit Credit View general journal Clear entry Req 2 > Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Ic raw View transaction list Journal entry worksheet < 1 5 6 7 8 9 110 The sales for the year (all on account) totaled $1,750,000. Note: Enter debits before credits. Transaction k(1). Record entry 11 12 General Journal Debit Credit View general journal Clear entry Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 5 6 7 8 9 10 11 12 The goods cost $910,000 according to their job cost sheets. Note: Enter debits before credits. Transaction k(2) General Journal Debit Credit Record entry View general journal Clear entry Req 1 Req 2 > Froya Fabrikker A/S of Bergen, Norway, is a small company that manufactures specialty heavy equipment for use in North See oil fields. The company uses a job-order costing system that applies manufacturing overhead cost to jobs on the basis of direct labor-hours. Its predetermined overhead rate was based on a cost formula that estimated $373,700 of manufacturing overhead for an estimated allocation base of 1,010 direct labor-hours. The following transactions took place during the year Raw materials purchased on account, $255,000. b. Raw materials used in production (all direct materials), $240,000. c. Uslity bills incurred on account, $70,000 (95% related to factory operations, and the remainder related to selling and administrative activities) d. Accrued salary and wage costs: Direct labor (1,085 hours) Indirect labor Selling and administrative salaries $285,000 $101,000 $165,000 e. Maintenance costs incurred on account in the factory, $65,000 Advertising costs incurred on account, $147,000 g. Depreciation was recorded for the year, $83,000 (80% related to factory equipment, and the remainder related to selling and administrative equipment). h. Rental cost incurred on account, $108,000 (85% related to factory facilities, and the remainder related to selling and administrative facilities) L Manufacturing overhead cost was applied to jobs, $? JCost of goods manufactured for the year $880,000. Sales for the year (all on account totaled $1,750,000. These goods cost $910,000 according to their job cost sheets. The balances in the inventory accounts at the beginning of the year were Raw Materials $ 41,000 Work in Process $ 32,000 Finished Goods Required: $ 71,000 1. Prepare journal entries to record the preceding transactions. 2. Post your entries to T-accounts. (Don't forget to enter the beginning inventory balances above) 3. Prepare a schedule of cost of goods manufactured 4A. Prepare a journal entry to close any balance in the Manufacturing Overhead account to Cost of Goods Sold. 48. Prepare a schedule of cost of goods sold 5. Prepare an income statement for the year. Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 48 Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet 1 2 3 4 56 7 8 12 The raw materials were purchased for use in production, $255,000 on account. Note: Enter debits before credits. Transaction General Journal Debit Credit Mc Graw the year. Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 2 3 4 5 6 7 8 The raw materials used in production (all direct materials), $240,000. Note: Enter debits before credits. 12 Transaction b. General Journal Debit Credit Mc Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 2 4 5 12 The utility bills were incurred on account, $70,000 (95% related to factory operations, and the remainder related to selling and administrative activities). Note: Enter debits before credits. Transaction General Journal Debit Credit 5. Prepare an income statement for the year. Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 2 3 5 6 7 8 The salary and wage costs accrued were $285,000 (Direct labor), $101,000 (Indirect labor), $165,000 (Selling and administrative salaries). Note: Enter debits before credits. Transaction d. 12 22 General Journal Debit Credit Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 48 Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 2 3 6 7 200 12 The maintenance costs were incurred on account in the factory, $65,000. Note: Enter debits before credits. Transaction General Journal Debit Credit Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 2 3 4 5 7 The advertising costs were incurred on account, $147,000. Note: Enter debits before credits. Transaction 12 General Journal Debit Credit Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 2 3 4 5 6 12 The depreciation was recorded for the year, $83,000 (80% related to factory equipment, and the remainder related to selling and administrative equipment). Note: Enter debits before credits. Transaction General Journal Debit Credit Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 2 3 4 5 6 7 8 12 The entry for rental cost incurred on account on buildings, $108,000 (85% related to factory facilities, and the remainder related to selling and administrative facilities). Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry View general journal Clear entry Req1 Req 2 > Mc epare income statement for the year. Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 4 5 6 7 8 9 12 The entry for manufacturing overhead cost applied to jobs. Note: Enter debits before credits. Transaction Record entry General Journal Debit Credit View general journal Clear entry Req 2 > Mc Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 ..... 5 6 7 8 9 10 12 The cost of goods manufactured for the year, $880,000. Note: Enter debits before credits. Transaction Record entry General Journal Debit Credit View general journal Clear entry Req 2 > Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Ic raw View transaction list Journal entry worksheet < 1 5 6 7 8 9 110 The sales for the year (all on account) totaled $1,750,000. Note: Enter debits before credits. Transaction k(1). Record entry 11 12 General Journal Debit Credit View general journal Clear entry Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3 Req 4A Req 4B Req 5 Prepare journal entries to record the preceding transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 5 6 7 8 9 10 11 12 The goods cost $910,000 according to their job cost sheets. Note: Enter debits before credits. Transaction k(2) General Journal Debit Credit Record entry View general journal Clear entry Req 1 Req 2 >