Burton Company custom-produces specialty souvenir products.During 2014the current accounting period,the company completed the following transactions:
(a)Purchased $20,000 of raw materials,paying cash.
(b)Used direct materials in production as follows:

\begin{array}{|l|c|}\hline \text { Job Number } & \text { Direct Materials } \\\hline 1 & \$ 10,000 \\\hline 2 & 5,000 \\\hline 3 & \underline {2,000} \\\hline \text { Total } & \$ 17,000 \\\hline\end{array}

(c)Paid direct labor costs as follows:

\begin{array}{|l|r|}\hline \text { Job Number } & \text { Direct Labor } \\\hline 1 & \$ 10,000 \\\hline 2 & 8,000 \\\hline 3 & \underline {6,000} \\\hline \text { Total } & \$ 24,000 \\\hline\end{array}

(d)Paid cash for various actual factory overhead costs,$40,000.
(e)Applied factory overhead to production using a predetermined overhead rate of $1.50 per direct labor dollar.
(f)Completed Job 1.
(g)Job 1 was sold for $50,000 cash.
(h)Paid $1,000 for selling and administrative expenses.
Required:
1)Record the data in the T-accounts provided.Post costs to the job cost sheet for Job 1 as necessary.
Label the transactions (a)- (h). $Burton Company custom-produces specialty souvenir products.During 2014the current accounting period,the company completed the following transactions: (a)Purchased $20,000 of raw materials,paying cash. (b)Used direct materials in production as follows: \begin{array}{|l|c|} \hline \text { Job Number } & \text { Direct Materials } \\ \hline 1 & \$ 10,000 \\ \hline 2 & 5,000 \\ \hline 3 & \underline {2,000} \\ \hline \text { Total } & \$ 17,000 \\ \hline \end{array} (c)Paid direct labor costs as follows: \begin{array}{|l|r|} \hline \text { Job Number } & \text { Direct Labor } \\ \hline 1 & \$ 10,000 \\ \hline 2 & 8,000 \\ \hline 3 & \underline {6,000} \\ \hline \text { Total } & \$ 24,000 \\ \hline \end{array} (d)Paid cash for various actual factory overhead costs,$40,000. (e)Applied factory overhead to production using a predetermined overhead rate of $1.50 per direct labor dollar. (f)Completed Job 1. (g)Job 1 was sold for $50,000 cash. (h)Paid $1,000 for selling and administrative expenses. Required: 1)Record the data in the T-accounts provided.Post costs to the job cost sheet for Job 1 as necessary. Label the transactions (a)- (h). 2)As transaction (i)post the closing entry for any over- or underapplied or overapplied manufacturing overhead assuming that the amount is written off directly against cost of goods sold. 3)Prepare a schedule of cost of goods manufactured and sold assuming there were no beginning inventories. 4)Compute the amount of gross profit earned on Job 1.$ 2)As transaction (i)post the closing entry for any over- or underapplied or overapplied manufacturing overhead assuming that the amount is written off directly against cost of goods sold.
3)Prepare a schedule of cost of goods manufactured and sold assuming there were no beginning inventories.
4)Compute the amount of gross profit earned on Job 1.

Oregon Company Started the Month of August with 4,000 Units

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