1. Graca Tools shows the following entries in a T-account:

Manufacturing Overhead

(2) 9,000 (12) 167,000

(3) 15,000

(4) 80,000

(5) 30,000

(6) 25,000

159,000 167,000

Bal. 8,000

What does the ending balance of $8,000 represent?

a) Overapplied overhead

b) Underapplied overhead

c) Manufacturing overhead that will be carried over to the next period

d) An accounting error

3. During the month of August, $57,000 of raw materials were requisitioned from the storeroom by Graca Tools for use in production consisting of $53,000 of direct materials and $4,000 of indirect materials. What was the debit to the Work in Process account as a consequence of the raw materials transaction in August?

2. Graca Tools had $26,000 of raw materials on hand on August 1. During the month of August, Graca ordered an additional $64,000 of raw materials on credit from its suppliers. Complete the following table for the journal entry needed to record the purchase of raw materials?.

Accounts	Amount	Amount
	Debit:
		Credit: