Bergo Bay's accounting system generated the following account balances on December $31.$ The company$$s manager knows something is wrong with this list of balances because it does not show any balance for Work in Process Inventory, and the accrued factory payroll $($Factory Wages Payable$)$ has not been recorded.

Debit Credit

Cash $ $69,000$

Accounts receivable $38,000$

Raw materials inventory $24,000$

Work in process inventory $0$

Finished goods inventory $15,000$

Prepaid rent $5,000$

Accounts payable $ $10,800$

Notes payable $13,800$

Common stock $50,000$

Retained earnings $($prior year$)79,000$

Sales $187,400$

Cost of goods sold $115,000$

Factory overhead $24,000$

General and administrative expenses $51,000$

Totals $ $341,000$ $ $341,000$

These six documents must be processed to bring the accounting records up to date.

Materials requisition $10$: $ $4,300$ direct materials to Job $402$

Materials requisition $11$: $ $8,000$ direct materials to Job $404$

Materials requisition $12$: $ $2,400$ indirect materials

Labor time ticket $52$: $ $8,000$ direct labor to Job $402$

Labor time ticket $53$: $ $12,000$ direct labor to Job $404$

Labor time ticket $54$: $ $5,000$ indirect labor

Jobs $402$ and $404$ are the only jobs in process at year$-$end. The predetermined overhead rate is $100\%$ of direct labor cost.

$2-$a$.$ In Factory Overhead T$-$account, enter amounts from part $1$ related to factory overhead. Determine the amount of over$-$ or underapplied overhead.

$2-$b$.$ Prepare the entry to close any over$-$ or underapplied overhead to Cost of Goods Sold.