Doyle Ltd. manufactures and installs kitchen cabinetry. It uses normal job costing with two direct cost categories (direct materials and direct manufacturing labor) and one indirect cost pool for manufacturing overhead (MOH), applied on

the basis of machine-hours (MH). At the beginning of the year, the company estimated that it would work 990,000 MH and had budgeted $74,250,000 for MOH. The following data (in $ millions) pertain to operations for the year 2022:

Requirement 1 and 2. Prepare general joural entries. Show the journal entry for disposing of over- or underallocated manufacturing overhead directly as a year-end write-off to Cost of Goods Sold. Post the entries to T-accounts

First, prepare the general journal entries.

(1) Record the purchase of materials.

Operations data (in millions) $ 8.0 2.2 8.6 237 200 22 123 Materials control (beginning balance), December 31, 2021 Work-in-process control (beginning balance), December 31, 2021 Finished goods control (beginning balance), December 31, 2021 Materials and supplies purchased on account Direct materials used Indirect materials (supplies) issued to various production departments Direct manufacturing labour Indirect manufacturing labour incurred by various departments Depreciation on plant and manufacturing equipment Miscellaneous manufacturing overhead incurred (credit Various Liabilities; ordinarily would be detailed as repairs, utilities, etc.) Manufacturing overhead allocated (960,000 actual MH) Cost of goods manufactured Revenues Cost of goods sold 24 24 10.4 ? 375.4 530 365 Accounts Payable Control Accounts Receivable Control Accumulated DepreciationBuildings and Manuf. Equipment Cost of Goods Sold Depreciation Expense Finished Goods Control Manufacturing Overhead Allocated Manufacturing Overhead Control Materials Control Revenues Salary Expense BE Depreciation Expense Finished Goods Control Manufacturing Overhead Allocated Manufacturing Overhead Control Materials Control Revenues Salary Expense Various Liabilities Wage Expense Wages Payable Control Work-in-Process Control (1) Record the purchase of materials. Journal Entry Accounts Debit Credit (In millions) (1)