P2.2A (LO 1, 2, 3, 4, 5), AP For the year ended December 31, 2020, the job cost sheets of Cinta Company contained the following data. Prepare entries in a job order cost system and partial income statement Manufacturing Overhead Job Total Costs Direct Labor Number Explanation Direct Materials $ 77,800 $28,800 $24,000 Balance 1/1 $25,000 7640 Current 30,000 11,000 109,200 43,200 36,000 year's costs 50,600 18,000 21,600 Balance 1/1 7641 Current 148,600 57,600 48,000 year's costs Current year's costs 43,000 179,000 66,000 55,000 58,000 7642 Other data: 1. Raw materials inventory totaled $15,000 on January 1. During the year, $140,000 of raw materials were purchased on account 2. Finished goods on January 1 consisted of Job No. 7638 for $87,000 and Job No. 7639 for $92,000. 3. Job No. 7640 and Job No. 7641 were completed during the year. 4. Job Nos. 7638, 7639, and 7641 were sold on account for $530,000. 5. Manufacturing overhead incurred on account totaled $120,000. 6. Other manufacturing overhead consisted of indirect materials $14,000, indirect labor $18,000, and depreciation on factory machinery $8,000. Instructions a. Prove the agreement of Work in Process Inventory with job cost sheets pertaining to unfinished work. (Hint: Use a single T-account for Work in Process Inventory.) Calculate each of the following, then post each to the T-account: (1) beginning balance, (2) direct materials, (3) direct labor, (4) manufacturing overhead and (5) completed jobs. $179,000; Job 7642: $179,000 b. Prepare the adjusting entry for manufacturing overhead, assuming the balance is allocated entirely to Cost of Goods Sold. Amount $6,800 c. Determine the gross profit to be reported for 2020. $158,600