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Christopher's Custom Cabinet Company uses a job order cost system with overhead applied as a percentage of direct labor costs. Inventory balances at the beginning of 2016 follow Raw Materials Inventory Work in Process Inventory Finished Goods Inventory $15,800 5,100 20,300 The following transactions occurred during January a) Purchased materials on account for $27,800 Issued materials to production totaling $21,000, 90 percent of which was traced to specific jobs and the remainder of which was treated as indirect materials Payroll costs totaling $17,400 were recorded as follovs 510,800 for assembly workers 2,700 for 2,000 for a 1,900 for sales commissions rative personnel d) Recorded depreciation: $6,000 for machines, $1.400 for the copier used in the administrative office e)Recorded $1,300 of expired insurance. Forty percent was insurance on the manufacturing faclity, with the remainder classified as an administrative expense Paid $6,400 in other factory costs in cash Applied manufacturing overhead at a rate of 200 percent of direct labor cost. Completed all jobs but one the job cost sheet for this job shows $2 500 for direct materials, $2,400 for direct labor, and $4,800 for applied overhead Sold jobs costing $51,300. The revenue earned on these jobs was S66,690. Required: 1. Set up T-accounts, record the beginning balances, post the January transactions, and compute the final balance for the following accounts: (Post all amounts separately. Do not combineladd any dollar amounts when posting to the t-accounts.) a. Raw Materials Inventory b. Work in Process Inventory c. Finished Goods Inventory. d. Cost of Goods Sold e. f. Sales g. Other accounts (Cash, Payablas, etc.) General, and Administrative Expenses 16,800 27,800 Beg. Bal Beg. Bal b) C) 9) 5,100 21,000 End. Bal 21,000 End Bal 15,900 Finished Goods Inventory Cost of Goods Sold Beg. Bal Beg. Bal Christopher's Custom Cabinet Company uses a job order cost system with overhead applied as a percentage of direct labor costs. Inventory balances at the beginning of 2016 follow Raw Materials Inventory Work in Process Inventory Finished Goods Inventory $15,800 5,100 20,300 The following transactions occurred during January a) Purchased materials on account for $27,800 Issued materials to production totaling $21,000, 90 percent of which was traced to specific jobs and the remainder of which was treated as indirect materials Payroll costs totaling $17,400 were recorded as follovs 510,800 for assembly workers 2,700 for 2,000 for a 1,900 for sales commissions rative personnel d) Recorded depreciation: $6,000 for machines, $1.400 for the copier used in the administrative office e)Recorded $1,300 of expired insurance. Forty percent was insurance on the manufacturing faclity, with the remainder classified as an administrative expense Paid $6,400 in other factory costs in cash Applied manufacturing overhead at a rate of 200 percent of direct labor cost. Completed all jobs but one the job cost sheet for this job shows $2 500 for direct materials, $2,400 for direct labor, and $4,800 for applied overhead Sold jobs costing $51,300. The revenue earned on these jobs was S66,690. Required: 1. Set up T-accounts, record the beginning balances, post the January transactions, and compute the final balance for the following accounts: (Post all amounts separately. Do not combineladd any dollar amounts when posting to the t-accounts.) a. Raw Materials Inventory b. Work in Process Inventory c. Finished Goods Inventory. d. Cost of Goods Sold e. f. Sales g. Other accounts (Cash, Payablas, etc.) General, and Administrative Expenses 16,800 27,800 Beg. Bal Beg. Bal b) C) 9) 5,100 21,000 End. Bal 21,000 End Bal 15,900 Finished Goods Inventory Cost of Goods Sold Beg. Bal Beg. Bal

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