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The Simkins Company uses a job order costing system. The following activities took place during the month of May:a. Raw materials purchased, $40,000.b. Raw materials (all direct) used in production, $35,000.c. Salaries and wages cost incurred:Direct labor cost, $60,000.Indirect labor cost, $30,000.Sales salaries $25,000.d. Factory utility costs incurred, $15,000.e. Depreciation on factory equipment, $50,000.f. Advertising expense incurred, $80,000.g. Manufacturing overhead is applied at the predetermined rate of 150% of direct labor cost.h. Cost of Goods Manufactured for the month, $180,000.i. Cost of Goods Sold for the month, $150,000.Required:Prepare journal entries to record the information given above. Key your entries by the letters a through i.
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