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3-b. Prepare a journal entry to properly dispose of any balance in the Manufacturing Overhead account. (Do not round intermediate calculations and round your final

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3-b. Prepare a journal entry to properly dispose of any balance in the Manufacturing Overhead account. (Do not round intermediate calculations and round your final answers to 2 decimal places. If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Answer is complete but not entirely correct. No Event General Journal Debit Credit 1 1 3,000.00 Manufacturing overhead Cost of goods sold Work in process Finished goods 2.700303 90.00 201.153 Ravsten Company uses a job-order costing system on January 1, the beginning of the current year, the company's inventory balances were as follows: Raw materials Work in process Finsshed goods $ 16,000 $ 10,000 $ 30,000 The company applies overhead cost to jobs on the basis of machine hours. For the current year, the company estimated that it would work 36,000 machine-hours and incur $153.000 in manufacturing overhead cost. The following transactions were recorded for the year a Raw materials were purchased on account $200,000 b. Raw materials were requisitioned for use in production $190,000 (80% direct and 20% indirect) c. The following costs were incurred for employee services Direct labour Indirect labour Sales comissions Administrative salaries $160,000 $ 27,000 $ 36,000 $80,000 d. Heat, power, and water costs were incurred in the factory $42.000 e Prepaid insurance expired during the year: $10,000 (90% relates to factory operations, and 10% relates to selling and administrative activities) 1. Advertising costs were incurred $50.000 g. Depreciation was recorded for the year 560,000 (859 relates to factory operations, and 15% relates to selling and administrative activities) h. Manufacturing overhead cost was applied to production. The company recorded 40,000 machine hours for the year. 1. Goods that cost $480,000 to manufacture according to their job cost sheets were transferred to the finished goods warehouse 1. Goods that cost $480,000 to manufacture according to their job cost sheets were transferred to the finished goods warehouse J. Sales for the year totalled $700,000 and were all on account. The total cost to manufacture these goods according to their job cost sheets was $475,000 Required: 1. Prepare journal entries to record the transactions given above. (Do not round intermediate calculations. If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list View journal entry worksheet No Transaction General Journal Condit 1 a Raw materials Accounts payable Debit 200,000 200,000 2 b Work in process Manufacturing overhead Raw materials 152,000 38.000 190,000 C Work in process Manufacturing overhead Sales commissions expense Administrative salaries expense Salaries and wages payable 160,000 27 000 35,000 80.000 303,000 4 d Manufacturing overhead Accounts payable 42,000 42,000 5 Manufacturing overhead 9,000 Prey 1 of 2 Next > Beg Bal Manufacturing Overhead Raw Materials 16.000 0 200,000 190,000 26,000 a Beg Bal b 0 End Bal 170,000 d 38.000 27.000 42.000 9,000 51,000 0 0 e 0 9 End Bal 3.000 Cost of Goods Sold Beg Bal 16 Beg Bat Work in Process 10.000 152.000 480.000 160.000 0 170 000 12.000 End Bal 475.00 475.000 th End Bal Beg Bal Finished Goods 30 000 480 000 475.0001 35.000 End. Bal

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