Quincy Company incurred the following actual overhead costs for the month of February.

Overhead is applied based on a predetermined rate of \($2\) per direct labor dollar (200 percent of direct labor cost). Direct labor costs were \($300,000\) for the month.
Required

a. Prepare a journal entry to record actual overhead costs for February. Assume indirect labor costs and utilities will be paid next month.

b. Prepare a journal entry to record manufacturing overhead applied to jobs during February.

c. Create a T account for Manufacturing Overhead, post the appropriate information from parts a and b to this account, and calculate the ending balance.

d. Is manufacturing overhead overapplied or underapplied? Using the balance in the Manufacturing Overhead account calculated in part

c, prepare the journal entry to close Manufacturing Overhead to Cost of Goods Sold.

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Indirect materials $335,000 Indirect labor 275,000 Factory depreciation 18,000 Factory utilities 9,500