Direct materials are added at the start of the process. Conversion costs are added evenly during the process. We use the weighted average-method of process costing. The following information for March 2013 is available.

Work in process, Mar. 1: 10,000 units (70% converted)

Started during March: 40,000 units

Completed and transferred during March: 34,000 units

**Ending working in process is 50% converted as direct labor and overhead**

Total costs for March:

Working in process beginning:

Direct Materials $60,000

Direct Labor: $50,000

Overhead Applied: $20,000

direct materials added during March: $280,000

Direct labor added during March: $265,000

Overhead applied during March: $106,000

***Questions***

1. Calculate cost per unit for materials, labor and overhead.

2. Prepare the journal entries for the costs used in work in process plus the cost transferred from work-in-process to finished goods.

3. If the actual manufacturing overhead was $100,000 during March what is the balance in manufacturing overhead at March 31, 2013.

4. What is the journal entry to account for the over or under-applied overhead?

5. What is the March 31, 2013 balance in work in process?