hwi EXERCISE 1-8 Applying Overhead Journal Entrie Exercise 3-3 (Nig Saved Help Sa 4. Book Exercise 3-8 (Algo) Applying Overhead; Journal Entries; Disposing of Underapplied or Overapplied Overhead [LO3-1, LO3-2, LO3-4] The following information is taken from the accounts of Latta Company. The entries in the T-accounts are summaries of the transactions that affected those accounts during the year. Manufacturing Overhead (a) 467,712 (b) 389,760 Bal. Work in Process 18,240 (c) 722,000 Bal. Bal. 77,952 270,500 86,500 (c) Bal. Finished Goods 47,000 (d) 722,000 646,000 123,000 E (b) 389,760 Bal. 43,000 int Cost of Goods Sold (d) 646,000 sk ences The overhead that had been applied to production during the year is distributed among Work in Process, Finished Goods, and Cost of Goods Sold as of the end of the year as follows: Work in Process, ending $ 20,640 Finished Goods, ending Cost of Goods Sold Overhead applied 59,040 310,080 $389,760 For example, of the $43,000 ending balance in work in process, $20,640 was overhead that had been applied during the year. Required: 1. Identify reasons for entries (a) through (d). 2. Assume that the underapplied or overapplied overhead is closed to Cost of Goods Sold. Prepare the necessary journal entry. 3. Assume that the underapplied or overapplied overhead is closed proportionally to Work in Process, Finished Goods, and Cost of Goods Sold. Prepare the necessary journal entry. Complete this question by entering your answers in the tabs below. 4 nts eBook For example, of the $43,000 ending balance in work in process, $20,640 was overhead that had been applied during the yea Required: 1. Identify reasons for entries (a) through (d). 2. Assume that the underapplied or overapplied overhead is closed to Cost of Goods Sold. Prepare the necessary journal ent 3. Assume that the underapplied or overapplied overhead is closed proportionally to Work in Process, Finished Goods, and C Goods Sold. Prepare the necessary journal entry. Complete this question by entering your answers in the tabs below. Hint Ask Required 1 Required 2 Required 3 Identify reasons for entries (a) through (d). Entry Reason (a) ferences (b) (c) (d) Actual manufacturing overhead costs incurred for the year. Cost of goods manufactured for the year. equired 2 > Cost of goods sold for the year. Overhead cost applied to Work in Process for the year. Required i Required Required 3 Assume that the underapplied or overapplied overhead is closed to Cost of Goods Sold. Prepare the necessary journal entry. (If no em is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet < 1 Record the adjustment of manufacturing overhead account to COGS. Note: Enter debits before credits. Event 1 General Journal Debit Credit Record entry Clear entry View general journal 7 Required 1 Required Required 3 Assume that the underapplied or overapplied overhead is closed proportionally to Work in Process, Finished Goods, and Cost of Sold. Prepare the necessary journal entry. (If no entry is required for a transaction/event, select "No journal entry required" ina account field. Do not round intermediate calculations.) View transaction list Journal entry worksheet ok t 0 nces 1 Record the allocation of any balance in the manufacturing overhead account to other accounts. Note: Enter debits before credits. Event 1 General Journal Debit Credit View general journal Clear entry Record entry 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's predetermined overhead rate of $2.40 per machine-hour was based on a cost formula that estimates $225,600 of total manufacturing overhead for an estimated activity level of 94,000 machine-hours. Required: 1. Assume that during the year the company works only 89,000 machine-hours and incurs the following costs 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 your Manufacturing 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. Req 1 Req 2A Req 28 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. Manufacturing Overhead (Maintenance) 35,000 (a) (Direct materials) Work in Process 850,000 (Indirect materials) 9,400 (Direct labor) 104,000 (Indirect labor) 68,000 (Overhead) (a) (Utilities) 41,000 (Insurance) 8,400 (Depreciation) 55,000 Balance Reg 1 Req 24> Drey 5 of 6 Next > Save & C Help 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's predetermined overhead rate of $2.40 per machine-hour was based on a cost formula that estimates $225,600 of total manufacturing overhead for an estimated activity level of 94,000 machine-hours. Required: 1. Assume that during the year the company works only 89,000 machine-hours and incurs the following costs 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 your Manufacturing 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. ces Req 1 Req 2A Req 28 Compute the amount of underapplied or overapplied overhead for the year and show the balance in your Manufacturing Overhead T-account. manufacturing overhead Next > Book Req 1 Req 2A Req 28 Help Prepare a journal entry to close the company's underapplied or overapplied overhead to Cost of Goods Sold. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Hint < Ask ferences 1 Record the entry to close the balance of the manufacturing overhead account to COGS account. Note: Enter debits before credits. Event 1 General Journal Debit Credit Clear entry View general journal Record entry E Next >