Blue Plate Construction organized in December and recorded the following transactions during its first month of operations:
Dec. 2 Purchased materials on account for $400,000.
Dec. 3 Used direct materials costing $100,000 on job no. 100.
Dec. 9 Used direct materials costing $150,000 on job no. 101.
Dec. 15 Used direct materials costing $30,000 on job no. 102.
Dec. 28 Applied the following direct labor costs to jobs: job no. 100, $9,000; job no. 101, $11,000; job no. 102, $5,000.
Dec. 28 Applied manufacturing overhead to all jobs at a rate of 300% of direct labor dollars.
Dec. 29 Completed and transferred job no. 100 and job no. 101 to the finished goods warehouse.
Dec. 30 Sold job no. 100 on account for $200,000.
Dec. 31 Recorded and paid actual December manufacturing overhead costs of $78,000, cash.
Dec. 31 Closed the Manufacturing Overhead account directly to Cost of Goods Sold.
Required
(a) Prepare journal entries for each of the above transactions.(Omit the "$" sign in your response.)
(b) Compute the amount at which Cost of Goods Sold is reported in the company's income statement for the month ended December 31.(Omit the "$" sign in your response.)
(c) Determine the inventory balances reported in the company's balance sheet dated December 31.(Omit the "$" sign in your response.)
(d) Was manufacturing overhead in December overapplied, or was it underapplied?(Omit the "$" sign in your response.)