Question 2 (15 marks) normal Good Quality Ltd (Good Quality) manufactures a Product A. The company adopts costing system. Budget data for the year ended 31 December 2017 includes: Manufacturing overhead Direct labor cost $2,850,000 S1,900,000 Manufacturing overhead is to be allocated to jobs based on direct labor cost. Good Quality applies a policy that any under- or over-allocated overhead is adjusted to cost of goods sold. The following are actual data for the month December 2017: I. Purchases of direct materials amounted to SI,020,000 in which $408,000 was Material 2. Material inventory balance at 1 December 2017 was $45,000. No completed job or 3. Purchases of indirect materials amounted to $180,000. X and $612,000 was for Material Y work-in-progress on that day 4. The following data are extracted from the job costing records: Job 120 Job 1208 Job 120 Total Direct material X Direct material Y Indirect materials Total material issued $55,000 $60,000 S140,000 $255,000 S65,000 $208,000 $230,000 5503,000 S168,000 926,000 Direct labor Indirect labor S48,000 $65,000 $75,000 188,000 18,000 $206,000 Production lines S75,000 S55,000