Lakeland Boats uses a job order cost accounting system. During one month Lakeland purchased $153,000 of raw materials on credit; issued materials to production of $164,000 of which $24,000 were indirect. Lakeland incurred a factory payroll of $95,000, paid in cash, of which $25,000 is classified as indirect labor. Lakeland uses a predetermined overhead application rate of 170 % of direct labor cost. The jounal entry to record the application of factory overhead to production is: Debit Work in Process Inventory $55,800; credit Factory Overhead $55,800. Debit Work in Process Inventory $161,500; credit Factory Overhead $161,500. Debit Work in Process Inventory $119,000; credit Factory Overhead $119,000. Debit Factory Overhead $119,000: credit Work in Process Inventory $119,000