On March 1 a dressmaker starts work on three custom-designed wedding dresses. The company uses job order costing and applies overhead to each job (dress) at the rate of 52% of direct materials costs. During the month, the jobs used direct materials as shown below. Job 1 Job 2 Job Direct materials used $5,600 $7,600 $2,100 During the month, the jobs used direct labor as shown below. Jobs 1 and 3 are not finished by the end of March, and Job 2 is finished but not sold by the end of March. Direct labor used Job 1 Job 2 Job 3 $10,300 $4,800 $3,800 1. Determine the amounts of direct materials, direct labor, and factory overhead applied that would be reported on job cost sheets for each of the three jobs for March JOB COST SHEET Job 1 $ 5.600 $ 10,3001 Job 2 7 600 $ 4,800 Job 3 2100 3,800 Direct materials Direct labor Factory overhead Total $ 15,900 5 12.400 $ 5,900 JOR COST SHEET Job 1 $ 5,600 $ 10,300 Job 2 7,6001 $ 4,800 Job 3 2.100 3,800 Direct materials Direct labor Factory overhead Total $ 15.900 $ 12.400$ 5,900 2 Determine the total dollar amount of Work in Process Inventory at the end of March Ending work in process inventory 3. Determine the total dollar amount of Finished Goods Inventory at the end of March, Assume the company has no beginning Work in Process or Finished Goods inventories. Finished goods inventory April 30 May 31 $ $33,000 9,400 61,000 49,000 20,800 34,400 Inventories Raw materials Work in process Finished goods Activities and information for May Raw materials purchases (paid with cash) Factory payroll (paid with cash) Factory overhead Indirect materials Indirect labor Other overhead costs Sales (received in cash) Predetermined overhead rate based on direct labor cost 195,000 200,000 7,000 46,000 113,000 1,800,000 555 Work In Process (WIP) April 30 Raw Materials (RM) 33,000 195,000 RM purchases 228.000 0 Finished Goods (FG) Factory Overhead April 30 Cost of goods manut Income statement (partial) $ 0 In December 2016, Custom Mfg. established its predetermined overhead rate for jobs produced during 2017 by using the following cost predictions: overhead costs $1,050,000, and direct materials costs, $500,000. At year-end 2017, the company's records show that actual overhead costs for the year are $1,051,300. Actual direct material cost had been assigned to jobs as follows. Jobs completed and sold Jobs in finished goods inventory Jobs in work in process inventory Total actual direct materials cost $380,000 71.000 45,000 $496,000 1. Determine the predetermined overhead rate for 2017. 2&3. Enter the overhead costs incurred and the amounts applied during the year using the predetermined overhead rate and determine whether overhead is overapplied or underapplied. 4. Prepare the adjusting entry to allocate any over- or underapplied overhead to Cost of Goods Sold Complete this question by entering your answers in the tabs below. Req1 Reg 2 and 3 Reg 4 Enter the overhead costs incurred and the amounts applied during the year using the predetermined overhead rate and determine whether overhead is overapplied or underapplied. Factory Overhead 1,051,300 Underapplied overhead Actual overhead 1,051,300 Reg 1 Req 2 and 3 Reg 4 Prepare the adjusting entry to allocate any over- or underapplied overhead to cost of Goods Sold. View transaction list Journal entry worksheet