Exercise 3-9 (Algo) Applying Overhead; T-accounts; Journal Entries [LO3-1, LO3-2, LO3-4] Harwood Company uses a job order costing system that applies overhead cost to jobs on the basis of machine-hours. The company) predetermined overhead rase of 52.50 per machine-hour was based on a cost formula that estimates 5217,500 of totai manufacturing overhead far an estmated activity level of 87,000 machine-hours. Required: 1. Assume that during the year the company works only 82,000 machine hours and incurs the following costs in the Macufacturing Overhead and Work in Process accocints: Compute the amount of owerheod cost that would be applied to Work in Process for the year and make the entry in your Traccounts. 2A. Cormpute the amaunt of underapplied or overappled overhesd for the year and show the balance in your Manufacturing Overhesd Taccount. 2B. Prepare a joumal entry to close the company's underapplied of overapplied overhesd to Cost of Goods Sold. Complete this qunution by entering your answers in the tabs below. Compuee the amount ef everness cost that would be appled to Work in Process for the vear and make the antry in your T-accounts. Exercise 3-9 (Algo) Applying Overhead; T-accounts; Journal Entries [LO3-1, LO3-2, LO3-4] Harwood Company uses a job-order costing system that opplies overhead cost to jobs on the basis of machine-houss. The companys predetermined overhead rate of $2.50 per machine-hour was tysed on a cost formula that estimates $217.500 of total manufacturing overheod for an estimated activity lovel of 87,000 machine-hours. Required: 1. Assume that during the year the company works only 82,000 machine-hours and incurs the following cosis in the Manufacturing Overhead and Work in Process accounts: Compute the amount of overhead cost that would be applied to Work in Process for the year. and make the entry in your T-accounts. 2A. Compute the amount of underapplied or overapplied overhead for the year and show the balance in yout Manufactiring Overhead T-account. 2B. Prepare a journal entry to close the company's underapplied or overapplied overhead to Cost of Goods Sold. Complete this question by entering your answers in the tabs below. Compute the amount of underepplied or overapplied overhead for the year and show the balance in your Manufacturing Overhead T-account. transaction/event, select "No joumal entry required" in the firse acopplied overhead to Cost of Goods Sold, (If no entry is required for a Journal entry worksheet Recond the entry to close the balance of the manufacturing overhead account to cocs account. hote: Encer dobits betore vedits. Exercise 3-9 (Algo) Applying Overhead; T-accounts; Journal Entries [LO3-1, LO3-2, LO3-4] Harwood Company uses a job order costing system that applies overhead cost to jobs on the basis of machine-hours. The company) predetermined overhead rase of 52.50 per machine-hour was based on a cost formula that estimates 5217,500 of totai manufacturing overhead far an estmated activity level of 87,000 machine-hours. Required: 1. Assume that during the year the company works only 82,000 machine hours and incurs the following costs in the Macufacturing Overhead and Work in Process accocints: Compute the amount of owerheod cost that would be applied to Work in Process for the year and make the entry in your Traccounts. 2A. Cormpute the amaunt of underapplied or overappled overhesd for the year and show the balance in your Manufacturing Overhesd Taccount. 2B. Prepare a joumal entry to close the company's underapplied of overapplied overhesd to Cost of Goods Sold. Complete this qunution by entering your answers in the tabs below. Compuee the amount ef everness cost that would be appled to Work in Process for the vear and make the antry in your T-accounts. Exercise 3-9 (Algo) Applying Overhead; T-accounts; Journal Entries [LO3-1, LO3-2, LO3-4] Harwood Company uses a job-order costing system that opplies overhead cost to jobs on the basis of machine-houss. The companys predetermined overhead rate of $2.50 per machine-hour was tysed on a cost formula that estimates $217.500 of total manufacturing overheod for an estimated activity lovel of 87,000 machine-hours. Required: 1. Assume that during the year the company works only 82,000 machine-hours and incurs the following cosis in the Manufacturing Overhead and Work in Process accounts: Compute the amount of overhead cost that would be applied to Work in Process for the year. and make the entry in your T-accounts. 2A. Compute the amount of underapplied or overapplied overhead for the year and show the balance in yout Manufactiring Overhead T-account. 2B. Prepare a journal entry to close the company's underapplied or overapplied overhead to Cost of Goods Sold. Complete this question by entering your answers in the tabs below. Compute the amount of underepplied or overapplied overhead for the year and show the balance in your Manufacturing Overhead T-account. transaction/event, select "No joumal entry required" in the firse acopplied overhead to Cost of Goods Sold, (If no entry is required for a Journal entry worksheet Recond the entry to close the balance of the manufacturing overhead account to cocs account. hote: Encer dobits betore vedits
