M Co. uses a job cost system at its Washington plant. The following data represents the activity for the month of August 2021. The opening WIP and finished goods inventory was 0. Opening materials inventory was $25,000.

A summary of the time tickets and materials used for August follows:

a. Materials purchased on account $80,000

b. The materials and labour were used as indicated in the chart above.

c. Factory overhead costs incurred on account were $45,000

d. Amortization of factory machinery and equipment were $38,000

e. The factory overhead rate applied is based on 70% of direct labour cost

f. Job #321 and 329 were completed during the month.

g. Job #321 was shipped to the customer prior to August 31 and the customer was billed $78,000.

h. The over/underapplied overhead was recorded to cost of goods sold.

Required: Present the journal entries to record the above activity for the month of August 2021.

Description Job # 321 Job # 329 Job # 336 Indirect Material $4,000 Materials Factory Labour $15,000 $11,000 10,000 9,200 5,500 3,000 Indirect labour 6,000