ng system ng system is m H versted costs. e ntine Wal duct III. Problem 1 (10 points) Company X recorded the following transactions this past month 1. $20,000 in raw materials were purchased on credit 2. $140,000 in raw materials were requisit direct materials and the remainder as indirect materials. 3. Total labour cost of $130,000 were incurred. remainder as indirect labour. 4. Manufacturing overhead of $75,000 was applied. 1 Were requisitioned for use in productions. Of this amount S110,000 was $130,000 were incurred. Of this amount $90,000 was for direct labour and the a) Prepare the journal entries for these transactions. b) Assumin V Assuming that manufacturing overhead had a balance of zero at the beginning of this month, was it overapplied or underapplied? (hint prepare the T-account), and accordingly prepare the adjusting entry