Exercise 2-14 Adjusting factory overhead LO P4

	Storm Concert Promotions			Valle Home Builders
Actual indirect materials costs	$	13,000		$	6,400
Actual indirect labor costs		56,600			46,400
Other overhead costs		16,100			48,500
Overhead applied		92,400			95,600

Storm Concert Promotions Determine whether overhead is overapplied or underapplied. Prepare the journal entry to allocate (close) overapplied or underapplied overhead to Cost of Goods Sold. Valle Home Builders Determine whether overhead is overapplied or underapplied. Prepare the journal entry to allocate (close) overapplied or underapplied overhead to Cost of Goods Sold.

Factory Overhead-Storm

Transaction	General Journal	Debit	Credit
1

Determine whether overhead is overapplied or underapplied.

Factory Overhead-Valle

Note: Enter debits before credits.

Transaction	General Journal	Debit	Credit
1