g Question 3 At Springfield, the engraving department is a bottleneck, and the company is considering hiring an extra worker, whose salary will be $55,577 per year, to mitigate the problem. With the extra worker, the company will be able to produce and sell 7,700 more units per year. The selling price per unit is $13.00. Cost per unit currently is $7.69 as follows: Direct material $2.56 Direct labor 1.00 Variable overhead 0.23 Fixed overhead (primarily depreciation of equipment) 3.90 Total $7.69 Calculate the annual financial impact of hiring the extra worker. The annual net profit will by $ by hiring the extra worker.

Mesa company produces wooden rocking chairs. the company has two production departments, cutting and assembly. the wood is cut and sanded in cutting and then transferred to assembly to be assembled and painted. from assembly, the chairs are transferred to finished goods inventory and then are sold. mesa has compiled the following information for the month of february: cutting department assemblydepartmentdirect materials $ 73,000 $ 13,000direct labor 73,000 108,000applied manufacturing overhead 159,000 171,000cost of goods completed and transferred out 233,000 255,000required: 1, 2, 3, & 4. prepare journal entries for the transactions in the cutting and assembly departments of mesa company. (if no entry is required for a transaction/event, select "no journal entry required" in the first account field.)