Operations data $($in millions$)$

Question $3,$ Exercise $4-24($similar to$)$

Points: $0$ of $88$

Part $1$ of $12$

one indirect cost pool for manufacturing overhead $(MOH),$ applied on the basis of machine$-$hours $(MH).$ At the beginning of the year, the company estimated that it would work $980,000MH$ and had budgeted $$83,300,000$ for MOH. The following data $($in $ millions$)$ pertain to operations for the year $2022.$

$($Click the icon to view the operations data $[$in millions$])$

Required

Requirement $1$ and $2.$ Prepare general journal entries Show the journal entry for disposing of over$-$or underallocated manufacturing overhead directly as a year$-$end write$-$off to Cost of Goods Sold. Post the entries to T$-$accounts. Record debits first, then credits. Explanations are not required.$)$

First, prepare the general journal entries.

$(1)$ Record the purchase of materials.

$(1)$ Sournal Entry

Materials control $($beginning balance$).$ December $31,2021$

$$,6\mathrm{.}5$

Work$-$in$-$process control $($beginning balance$),$ December $31,2021$

$1\mathrm{.}9$

Finished goods control $($beginning balance$).$ December $31,2021$

$8\mathrm{.}4$

Materials and supplies purchased on account

Direct materials used

Indirect materials $($supplies$)$ issued to various production departments Direct manufacturing labour

Indirect manufacturing labour incurred by various departments

$244$

Depreciation on plant and manufacturing equipment

$194$

$29$

$124$

$24$

Miscellaneous manufacturing overhead incurred $($credit Various Liabilities;

$19$

ordinarily would be detailed as repairs, utilities, etc.$)$

$10\mathrm{.}2$

Manufacturing overhead allocated $(950\mathrm{.}000$ actual $MH)$

$374\mathrm{.}8$

Cost of goods manufactured

$565$

Revenues

$330$

Cost of goods sold