Connect has notified me that the $186,400 is incorrect.

Connect has notified me that the $186,400 is incorrect.

Southern Rim Parts estimates its manufacturing overhead to be $294,000 and its direct labor costs to be $980,000 for year 1. The first three jobs that Southern Rim worked on had actual direct labor costs of $57,000 for Job 301, $82,000 for Job 302, and $135,000 for Job 303. For the year, actual manufacturing overhead was $439,000 and total direct labor cost was $842,000. Manufacturing overhead is applied to jobs on the basis of direct labor costs using predetermined rates. Overhead applied in each of the inventory accounts is as follows: $ Work-in-process inventory Finished goods inventory Cost of goods sold 25,260 50,520 176,820 Required: Prepare an entry to prorate the under- or overapplied overhead assuming the company uses both Applied Manufacturing Overhead and Manufacturing Overhead Control accounts. (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 Debit Credit A 1 18,640 Work-in-process inventory Finished goods inventory 37,280 130,480 Cost of goods sold Applied manufacturing overhead 186,400