3. Overview of general-ledger relationships. Budenmayer BV is a small machine shop that uses highly skilled labour and a job-costing system (using normal costing). The total debits and credits in certain accounts just before year-end are as follows: 30 December 2011 Total debits Total credits Materials Control 100 000 70 000 Work-in-Progress Control 320 000 305 000 Manufacturing Department Overhead Control 85 000 Finished Goods Control 325 000 300 000 Cost of Goods Sold 300 000 Manufacturing Overhead Allocated 90 000 All materials purchased are for direct materials. Note that 'total debits' in the stock accounts would include beginning stock balances, if any. The preceding accounts do not include the following: a The manufacturing labour costs recapitulation for the 31 December working day: direct manufacturing labour, 5000 and indirect manufacturing labour, 1000. b Miscellaneous manufacturing overhead incurred on 30 December and 31 December 1000 Additional information: Manufacturing overhead has been allocated as a percentage of direct manufacturing labour costs through 30 December Direct materials purchased during 2011 were 85 000. There were no returns to supplies. Direct manufacturing labour costs during 2011 totalled 150 000, not including the 31 December working day described previously. Required: 1 Calculate the stock (31 December 2011) of Materials Control, Work-in-Progress Control and Finished Goods Control. Show T-accounts. 2 Prepare all adjusting and closing journal entries for the preceding accounts. Assume that all under- or overallocated manufacturing overhead is closed directly to Cost of Goods Sold. 3 Calculate the ending stock (31 December 2011), after adjustments and closing, of Materials Control, Work-in- Progress Control and Finished Goods Control