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Question: baba company is a manufacturing fim that uses joborder costing...

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Baba Company is a manufacturing fim that uses job-order costing. The companys inventory balances were as follows at the beginning and end of the year Beginning Balance Ending Balance Raw materials Work in process Finished goods $22.000 $52,000 $121.000 $25,000 $34,000 $136000 The company applies overhead to jobs using a predetermined overhead rate based on machine-hours. At the beginning of the year, the company estimated that it would work 40,000 machine-hours and incur $ manufacturing overhead cost. The following transactions were recorded for the year: 200,000 in Raw materials were purchased, $412,000. . Raw materials were requisitioned for use in production, $409,000 $(362,000 direct and $47,000 The following employee costs were incurred: direct labor, $324,000; Indirect labor, $57.000: and Indirect). administrative salaries, $129,000. Solling costs, $135,000. Factory utility costs, $22,000. . . Depreciation for the year was S102,000 of which $94,000 is related to factory operations and $8,000 . Manufacturing overhead was applied to jobs. The actual level of activity for the year was 44,000 is related to seling, general, and administrative activitles. Sales for the year totaled $1,198,000. . Il work to receive full credit!! a. Prepare a schedule of cost of goods manufactured in good form. b. Was the overhead underapplied or overapplied? By how much? C. Prepare an income statement for the year in good form. The company closes any underapplied or overapplied overhead to Cost of Goods Sold

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