ces The following information is available for Lock-Tite Company, which produces special-order security products and uses a job order costing system. April 30 May 31 Inventories Raw materials $45,500 $ Work in process 10,700 57,000 22,300 Finished goods 65,500 40,600 Activities and information for May Raw materials purchases (paid with cash) 215,000 Factory payroll (paid with cash) 355,000 Sales (received in cash) Factory overhead Indirect materials Indirect labor Other overhead costs Predetermined overhead rate based on direct labor cost 20,000 85,000 125,000 1,450,000 80% Determine whether there is over or underapplied overhead. Prepare the journal entry to allocate (close) overapplied or underapplied overhead to Cost of Goods Sold.