10. Prepare journal entries to record the following production activities for Hotwax. a. Requisitioned $9,800 of indirect materials for use in production of surfboard wax. b. Incurred $218,000 in actual other overhead costs (paid in cash). c. Applied overhead at the rate of 160% of direct labor costs. Direct labor costs were $80,000 in the Mixing department and $80,000 in the Shaping department.

Journal entry worksheet

• Requisitioned $9,800 of indirect materials for use in production of surfboard wax.

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
a

• Incurred $218,000 in actual other overhead costs (paid in cash).

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
b

• Applied overhead at the rate of 160% of direct labor costs. Direct labor costs were $80,000 in the Mixing department and $80,000 in the Shaping department.

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
c