2. Using the following information, make necessary journal entries. Jan 1 John Akrokete invested $300,000 in a manufacturing company. Jan 2 Bought Materials for $50,000 on account from ABC,2/10,n/30, FOB Shipping point. Paid transportation cost of $2,000. The company uses perpetual inventory system. Jan 3 Withdrew $10,000 yirect materials which were put into production. Jan 5 Paid direct labor, $4,000. Jan 7 Returned $5,000 of the materials to ABC because of defectiveness. Jan 11 Paid the amount due to ABC. Jan 12 Requisitioned for indirect materials of $7,000 that were put into production process Jan 18 Paid indirect labor, $2,500. Jan 25 Paid other factory overhead of $6,000 and accrued office salaries of $3,000. Jan 26 Depreciation of factory machinery was $10,000. Jan 27 Depreciation of Office Building was $7,500 Jan 28 The company had an estimated factory overhead of $500,000 and an estimated machine hours of 25,000 hours. The machine hours were considered as the cost driver for calculating the predetermined overhead rate. The actual machine hours during the time were 4,000 hours. Make necessary entries for the applied factory overhead and determine the over- or underapplied factory overhead