III. (16 points) Watson Manufacturing Company employs a job order cost accounting system and keeps perpetual inventory records. The following transactions occurred in the first month of operations: 1. Direct materials requisitioned during the month: Job 101 $20,000 Job 102 16,000 Job 103 24.000 560.000 2. Direct labor incurred and charged to jobs during the month was: Job 101 $32,000 Job 102 28,000 Job 103 20.000 $80.000 3. Manufacturing overhead was applied to jobs worked on using a predetermined overhead rate based on 75% of direct labor costs. 4. Actual manufacturing overhead costs incurred during the month were factory depreciation expense 520,000 and overhead expenses incurred on account, $46,000. 5. Jobs 101 Job 102 were completed during the month. Instructions: (a) (12 points) Prepare journal entries to record the above transactions. Question continues on next page General Journal Entry # Account Title Debit Credit (6) (4 points) Answer the following questions: Use the Taccounts to show your ne 1. What is the balance in Work In Process Inventory at the end of the month? 2. Determine the amount of under-or overapplied manufacturing overhead during the month Work in Process Inventory Manufacturing Overhead