Erkens Company uses a job costing system with normal costing and applies factory overhead on the basis of machine hours. At the beginning of the year, management estimated that the company would incur $1,682,000 of factory overhead costs and use 58,000 machine hours. Erkens Company recorded the following events during the month of April: a. Purchased 210,000 pounds of materials on account; the cost was $4.90 per pound. b. Issued 135,000 pounds of materials to production, of which 22,500 pounds were used as indirect materials. c. Incurred direct labor costs of $315,000 and $55,000 of indirect labor costs. d. Recorded depreciation on equipment for the month, $78,700. e. Recorded explred insurance costs for the manufacturing property, $5,000. f. Paid $10,000 cash for utalities and other miscellaneous items for the manufacturing plant. 9. Completed Job Hill costing $9,000 and Job G28 costing $84,500 during the month and transforred them to the Finished goods inventory account. h. Shipped Job G28 to the customer during the month. The job was invoiced at 40% above cost. 1. Used 10.700 machine hours during April. Required: 1. Compute Erkens Company's predetermined overhead rate for the year. 2. Prepare journal entries to record the events that occurred during April. 3-a. Compute the amount of overapplied or underapplied overhead. 3-b. Prepare a journal entry to close overapplied or underapplied overhead into cost of goods sold on April 30. Complete this question by entering your answers in the tabs below. Compute Erkens Company's predetermined overhead rate for the year. Prepare journal entries to record the events that occurred during April. (If no entry is required for a tr entry required" in the first account field.) Journal entry worksheet Purchased 210,000 pounds of materials on account; the cost was $4.90 per pound. Note: Enter debits before credits. 3-a. Compute the amount of overapplied or underapplied overhead. 3-b. Prepare a journal entry to close overapplied or underapplied overhead into cost of goods Complete this question by entering your answers in the tabs below. Compute the amount of overapplied or underapplied overhead. Journal entry worksheet Record the entry to close the avethesd ascount. Hiote Frotidebin tuelore orvits