Question

For the year ended December 31, 2020, the job cost sheets of Onta Company contained the following data Job Number Direct Materials Direct Labor 7640 Explanation Balance 1/1 Current year's costs Balance 1/1 Current year's costs Current year's costs $29,250 35,100 12,870 50,310 67.860 Manufacturing Overhead $33.000 50,544 25.272 67,292 77,220 $28.080 42,120 21,060 56,160 64,350 7641 Total Costs $91,026 127,764 59,202 173,862 209,430 7642 Other data: 1. 2. 3. 4. 5. 6. Raw materials inventory totaled $17,550 on January 1. During the year. $163,800 of raw materials were purchased Finished goods on January 1 consisted of Job No. 7638 for $101,790 and Job No. 7639 for $107,640. Job No. 7640 and Job No. 7641 were completed during the year Job Nos. 7638, 7639, and 7641 were sold on account for 5620,100. Manufacturing overhead incurred on account totaled $140,400. Other manufacturing overhead consisted of indirect materials $16,350, indirect labor $21.060, and deprec Prove the agreement of Work in Process Inventory with job cost sheets pertaining to unfinished work order: (1) beginning balance, (2) direct materials, (3) direct labor. 14 manufacturing overhead, and (3) completed Joos. Work in Process Inventory 1 Direct Labor Manufacturing Overhead Balance Direct Materials Completed Work 12/31 Work in process balance wished job Activate Windows W LIST OF ACCOUNTS ay) antennanufacturing overhead, assuming the balance is allocated entirely to cost of Good Sold (Chelt account titles are automatically indented when amoris entered the moment w AB de WMF

Answer 1

Work in Process Inventory
1/1	Balance	$150228	Completed work	451854
	Direct materials	153270
	Direct labor	162630
	Manufacturing overhead	195156
12/31	Balance	$209430

Balance= $91026+59202= $150228

Direct materials= $35100+50310+67860= $153270

Direct labor= $42120+56160+64350= $162630

Manufacturing overhead= $50544+67392+77220= $195156

Completed work= Job 7640+Job 7641

= $91026+127764+59202+173862= $451854

Work in process balance

$209430

Unfinished jobs

7642

$209430

Actual manufacturing overhead= $140400+16380+21060+9360= $187200

Manufacturing overhead applied= $195156-187200= $7956 overapplied

Underapplied or overapplied overhead= Manufacturing overhead applied-Actual manufacturing overhead

= $195156-

Account titles and explanation	Debit	Credit
Manufacturing overhead	$7956
Cost of goods sold		$7956
(To record overapplied overhead)

Income Statement
Sales		$620100
Less: Cost of goods sold
Job 7638	$101790
Job 7639	107640
Job 7641 (59202+173862)	233064
Unadjusted cost of goods sold	442494
Less: Overapplied overhead	7956
Adjusted cost of goods sold		434538
Gross profit		$185562