. Compute the under- or overapplied overhead for the year. 2. Prepare the journal entry to close Factory Overhead to Cost of Goods Sold. Complete this question by entering your answers in the tabs below. Compute the under- or overapplied overhead for the year. repare the journal entry to close Factory Overhead to Cost of Goods Sold. Journal entry worksheet Prepare the journal entry to close Factory Overhead to Cost of Goods Sold. Note: Enter debits before credits. A manufacturer reports sales of $80,000 and cost of goods sold of $60,000. 1. Compute its gross profit ratio. 2. If competitors average a 10% gross profit ratio, does this manufacturer compare favorably or unfavorably to its peers? An advertising agency is estimating costs for promoting a music festival. The job will require 200 direct labor hours at a cost of $50 per hour. Overhead costs are applied at a rate of $65 per direct labor hour. 1. What is the total estimated cost for this job? 2. If the company applies a markup of 20% of total costs (price quote is 120% of total costs), what price should it quote for this job