During August, Rothchild Company accumulated 3,500 hours of direct labor costs on Job 40 and 4,200 hours on Job 42. The total direct labor was incurred at a rate of $25.00 per direct labor hour for Job 40 and $23.50 per direct labor hour for Job 42.

Journalize the entry on Aug. 31 to record the flow of labor costs into production during August. Refer to the Chart of Accounts for exact wording of account titles.