Paddys Parts manufacturers specialized parts for oil rigs and relies on job costing to cost their inventory. At the begining of the year, management determined the following related to part #81:

Budgeted:

Total overhead $350,000

Cost allocation base machine hours

Machine hours 50,000

Direct Material per part $10

Begining of year balances

Raw Materials $20,000

Work in Process $15,000

Finished Goods $27,000

Cost of goods sold. $0

At the end of the year, Paddys produced 55,000 parts, using $495,000 of raw materials and $425,000 of overhead. In the process, they used 52,000 machine hours.

(a) Calculate the predetermined allocation rate for manufacturing overhead

(b) calculate the amount of overhead allocated. Close he factory overhead account by using the "write-off" to COGS approach. Show all of your journal entries.