Exercise #4: A Manufacturing Corporation had the following transactions for its first month of operations:

1. The Corporation purchased raw materials on account, $85,000.
2. Factory managers requisitioned Raw Materials of $30,000 to the factory. The materials requisition slips indicated that $6,000 was classified as indirect materials.
3. Factory labor costs incurred were $125,000 of which $100,000 pertained to factory wages payable and $25,000 pertained to employer payroll taxes payable.
4. Time tickets indicated that $104,000 was direct labor and $21,000 was indirect labor.
5. Overhead costs incurred on account were $112,000.
6. Manufacturing overhead was applied at the rate of 150% of direct labor cost.
7. Goods costing $135,000 are still incomplete at the end of the month; the other goods were completed and transferred to finished goods.
8. Finished goods costing $100,000 to manufacture were sold on account for $130,000.

Instructions

Journalize the above transactions for the Manufacturing Corporation.