Problem 19-3A (Algo) Computing and recording Job costs; preparing Income statement and balance sheet LO P1, P2, P3, P4 [The following information applies to the questions displayed below.] Bergo Bay's accounting system generated the following account balances on December 31. The company's manager knows something is wrong with this list of balances because it does not show any balance for Work in Process Inventory, and the accrued factory payroll (Factory Wages Payable) has not been recorded. Notes payable Cash Accounts receivable Raw materials inventory Work in process inventory Finished goods inventory Prepaid rent Accounts payable Common stock Retained earnings (prior year) Sales Cost of goods sold Debit $ 75,000 Credit 44,000 27,000 12,000 4,000 $ 8,700 11,700 40,000 91,000 176,600 Factory overhead General and administrative expenses 101,000 26,000 39,000 Totals $ 328,000 $ 328,000 These six documents must be processed to bring the accounting records up to date. Materials requisition 10: Materials requisition 11: Materials requisition 12: Labor time ticket 52: Labor time ticket 53: Labor time ticket 54: $ 4,800 direct materials to Job 402 $ 7,000 direct materials to Job 404 $ 2,100 indirect materials $ 7,000 direct labor to Job 402 $13,000 direct labor to Job 404 $ 5,000 indirect labor Jobs 402 and 404 are the only jobs in process at year-end. The predetermined overhead rate is 150% of direct labor cost. Problem 19-3A (Algo) Part 3 3. Prepare a revised list of account balances as of December 31. Hint: Use the prior year's Retained Earnings balance of $91,000 in t list. Cash BERGO BAY COMPANY List of Account Balances December 31 Debit Credit 75.000 44,000 Accounts receivable Raw materials inventory Work in process inventory Finished goods inventory 12.000 Prepaid rent 4.000 Accounts payable 8,700 Factory wages payable 25,000 Notes payable 11,700 Common stock 40,000 91,000 176,600 Retained earnings (prior year) Sales Cast of goods sold Factory overhead General and administrative expenses 39.000 Totals 174,000 353,000