Manufacturing Company is using a standard cost accounting system to record and report on manufacturing costs in

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Manufacturing Company is using a standard cost accounting system to record and report on manufacturing costs in regard to its single product called Z-Device. Company’s accounts as of January 1, 2020 was as follow. Trial Balance As of January 1, 2020 Account Debit Credit Cash 61,700 Accounts Receivable 18,000 Prepaid Insurance 24,000 Supplies 29,000 Equipment 255,000 Accumulated Depreciation-Equipment 48,125 Building 200,000 Land 35,000 Accumulated Depreciation-Building 75,000 Accounts Payable 26,500 Common Stock, par $10 313,000 Retained Earnings 160,075 Total 622,700 622,700 Company has developed and uses the following standards for its manufacturing costs. Raw materials 2.5 pounds at $12 per pound Direct labor 1.5 hours at $11.70 per hour Variable overhead 1.35 MH at $7 per machine hour Fixed overhead 1.35 MH at $6 per machine hour Budgeted production for year 22,000 units Budgeted machine hours for year 29,700 hours During 2020, company manufactured 20,800 units and used 29,120 of machine hours. The transactions incurred in 2020 were as follows:

#1 Paid advertising expense, $6,000

#2 Collected $15,000 of accounts receivable.

#3 Purchased 60,000 pounds of raw materials at $12.25 per pound on account from Rose Company.

#4 Paid $13,472 for oil change and maintenance of factory machines (variable overhead)

#5 Purchased equipment in cash for factory use, $12,000

#6 Factory requested and used 54,000 pounds direct materials for production of 20,800 units.

#7 Applied/charged factory for usage of variable and fixed overhead resources for the production of 20,800 units.

#8 Recorded $22,000 expired insurance of which $16000 was related to factory (fixed overhead).

#9 Recorded $28,000 used up supplies of which $22,000 was in factory (variable overhead)

#10 20,000 units of completed Z-Devices units were transferred to warehouse.

#11 19,000 units of Z-Devices were sold at a price $130 per unit plus 6% sales taxes that were not included in the price. Collected 90% of the transaction in cash and the rest was on account.

#12 Paid $32,000 for utilities of which $26,500 was for factory ($18,000 variable and $8,500 fixed).

#13 Paid employee salaries and wages as follow: Direct labor $384,000 (for 32,000 hours) Indirect labor $146,000 (all variable overhead) Factory supervisors $120,000 (all fixed salaries) Administration $80,000 Marketing $60,000

#14 Paid Rose Company for the purchase made in transaction

#3. #15 Recorded $19,000 of depreciation on equipment of which $12,500 was related to factory facilities (fixed overhead).

#16 Recorded $20,500 of depreciation on building of which $18,000 was related to factory facilities (fixed overhead).

#17 Made the necessary journal entry to close variable and fixed factory overhead accounts and to recognize related overhead cost variances.

#18 Made the necessary adjusting entry to close the cost variances.

#19 Recorded the accrued income taxes for the year (applicable tax rate is 30%). Hint: To make this journal entry, first you need to prepare a partial income statement to determine the amount of Income Before Taxes. Requirement: In the provided Excel file: 1) Journalize transactions #1 to #19 in the General Journal Tab 2) Post journal entries from General Journal to the ledger accounts in the General Ledger 3) Based on updated account balances in the General Ledger, prepare a Trial Balance 4) Prepare Statement of Cost of Goods Manufactured and Sold 5) Prepare an Income Statement (multiple step format) 6) Prepare a Balance Sheet (classified format) 7) Prepare a Cash Flow Statement using indirect or direct method.