Eagle Carts, Inc., produces special-order golf carts, so Eagle Carts uses a job order costing system. Overhead is applied at the rate of 90 percent of direct labor cost. A list of transactions for January follows:

Jan. 1		Purchased direct materials on account, $215,400.
2		Purchased indirect materials on account, $49,500.
4		Requested direct materials costing $193,200 (all used on Job X) and indirect materials costing $38,100 for production.
10		Paid the following overhead costs: utilities, $4,400; manufacturing rent, $3,800; and maintenance charges, $3,900.
15		Recorded the following gross wages and salaries for employees: direct labor, $120,000 (all for Job X); indirect labor, $60,620.
15		Applied overhead to production.
19		Purchased indirect materials costing $27,550 and direct materials costing $190,450 on account.
21		Requested direct materials costing $214,750 (Job X, $178,170; Job Y, $18,170; and Job Z, $18,410) and indirect materials costing $31,400 for production.
31		Recorded the following gross wages and salaries for employees: direct labor, $132,000 (Job X, $118,500; Job Y, $7,000; Job Z, $6,500); indirect labor, $62,240.
31		Applied overhead to production.
31		Completed and transferred Job X (375 carts) and Job Y (10 carts) to finished goods inventory; total cost was $855,990.
31		Shipped Job X to the customer; total production cost was $824,520 and sales price was $996,800.
31		Recorded these overhead costs (adjusting entries): prepaid insurance expired, $3,700; property taxes (payable at year end), $3,400; and depreciationmachinery, $15,500.

1. Record the entries for all transactions in January using T accounts below. Enter the transactions in chronological order. In case two transactions of the same date should be recorded using the same T account, enter them in the same order they are provided in the list of transactions. Assume no beginning inventory balances. Also assume that when the payroll was recorded, entries were made to the Payroll Payable account.

Prepare job order cost cards for Job X, Job Y, and Job Z to determine the following costs. When computing the product unit cost for Job X and Job Y, round to the nearest cent, if required.

	Job X	Job Y	Job Z
Direct materials	$	$	$
Direct labor	$	$	$
Overhead	$	$	$
Total cost	$	$	$
Product unit cost	$	$

2. Compute the amount of underapplied or overapplied overhead as of January 31 and transfer it to the Cost of Goods Sold account.

Underapplied overheah $

Cost of good sold $

Overhead $