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1.February Transactions 1-Feb Paid six months of rent in advance, $5,400. 4-Feb Paid wages and salaries for $2,150, part of which was accrued in January. 7-Feb Purchased supplies on account, $920 11-Feb Performed car repair services on account, $3,670. 17-Feb Collected cash from credit sales made in January and February, $4,300. 20-Feb Made a monthly payment on the equipment note, $70. 23-Feb Performed car repair services and received cash at the time of sale, $5,850. 25-Feb Accrued for the bonus earned by the shop manager that will be paid in April, $1,150. February Adiusting Entries 28-Feb The estimated depreciation on building and equipment is $810. 28-Feb One month of rent has expired, $900. 28-Feb The annual interest rate is 5% on all notes and paid quarterly. Round to the nearest dollar. 28-Feb The supplies remaining at the end of the month was $700. 28-Feb Accrued wages and salaries worked in February that will be paid 3-5, $2,000. 28-Feb The estimated income taxes for the month is $855.
• Prepare the adjusted trial balance as of February 28. Prepare the following February financial statements: o a) Income Statement for month ended February 28. o b) Statement of Stockholders Equity for month ended February 28. oc) Balance Sheet as of February 28. d) Statement of Cash Flows for month ended February 28. Record February closing transactions in the General Journal and post to the General Ledger. • Prepare a post-closing trial balance as of February 28, I .
Post - Closing Trial Balance January 31, 2xx2 Accounts Cash. Accounts Receivable Supplies Building Squipment Accumulated Deprecatán Accounts Payable Salaries and wayas Payabse Income Tax Payable Interest Payable Notes Payable Common Stock Retained Easing Total $ 4,650 $3,790 4 550 $76,000 $123,500 $39,350 $ 5465 $ 1,600 $ The 7790 $ 133 $33,550 $91,200 1829,402 $208,490 $ 208, 490

2.Job Costs Using Activity-Based Costing Heitger Company is a job-order costing firm that uses activity-based costing to apply overhead to jobs. Heitger identified three overhead activities and related drivers. Budgeted information for the year is as follows: Cost Driver Amount of Driver Activity Materials handling $64,500 Number of moves 2,500 Engineering 183,000 Number of change orders 10,000 Other overhead 377,400 Direct labor hours 51,000 Heitger worked on four jobs in July. Data are as follows: Job 13-43 Job 13-44 Job 13-45 Job 13-46 Beginning balance $23,600 $18,900 $3,100 $0 Direct materials $6,400 $9,450 $10,200 $8,700 Direct labor cost $930 $960 $1,630 $ $140 Job 13-43 Job 13-44 Job 13-45 Job 13-46 Number of moves 44 49 34 5 Number of change orders 34 35 16 21 Direct labor hours 930 960 1,630 140 By July 31, Jobs 13-43 and 13-44 were completed and sold. Jobs 13-45 and 13-46 were still in process. Required:
Required: 1. Calculate the activity rates for each of the three overhead activities. Round all activity rates to the nearest cent. Materials handling rate $ per move Engineering rate $ per change order Other overhead rate $ per direct labor hour 2. Prepare job-order cost sheets for each job showing all costs through July 31. When required, round your answers to the nearest dollar. If an amount is zero, enter "O". Heitger Company Job-Order Cost Sheets Job 13-43 Job 13-44 Job 13-45 Job 13-46 Balance, July 1 $ $ Direct materials Direct labor cost Materials handling Engineering Other overhead Total
3. Calculate the balance in Work in Process on July 31. 4. Calculate the cost of goods sold for July. 5. What if Job 13-46 required no engineering change orders? What is the difference in the new cost of Job 13-46? $ How would the cost of the other jobs be affected?