Problem 2-3A (Algo) Computing and recording job costs; preparing income statement and balance sheet LO P1, P2, P3, P4 [The following information applies to the questions displayed below.] Bergo Bay's accounting system generated the following account balances on December 31. The company's manager knows something is wrong with this list of balances because it does not show any balance for Work in Process Inventory, and the accrued factory payroll (Factory Wages Payable) has not been recorded. Credit Debit $ 74,000 43,000 26,500 9,000 3,000 Cash Accounts receivable Raw materials inventory Work in process inventory Finished goods inventory Prepaid rent Accounts payable Notes, payable Common stock Retained earnings (prior year) Sales Cost of goods sold Factory overhead General and administrative expenses Totals $ 8,700 11, 700 30,000 94,000 190, 100 104,000 27,000 48,000 $ 334,500 $ 334,500 These six documents must be processed to bring the accounting records up to date. Materials requisition 10: Materials requisition 11: Materials requisition 12: Labor time ticket 52: Labor time ticket 53: Labor time ticket 54: $ 4,900 direct materials to Job 402 $ 7,300 direct materials to Job 404 $ 2,200 indirect materials $ 8,000 direct labor to Job 402 $ 12,000 direct labor to Job 404 $ 5 , indirect labor Jobs 402 and 404 are the only jobs in process at year-end. The predetermined overhead rate is 100% of direct labor cost. Problem 2-3A (Algo) Part 2 2-a. In Factory Overhead T-account, enter amounts from part 1 related to factory overhead. Determine the amount of over- or underapplied overhead. 2-b. Prepare the entry to close any over- or underapplied overhead to Cost of Goods Sold. Complete this question by entering your answers in the tabs below. Complete this question by entering your answers in the tabs below. Req 2A Reg 2B In Factory Overhead T-account, enter amounts from part 1 related to factory overhead Determine the amount of over- or underapplied overhead. Factory Overhead Actual overhead (given) Direct labor cost Ending balance from trial balance Estimated overhead cost Factory wages payable Estimated overhead cost Factory wages payable Indirect labor Indirect materials Overhead applied Prepare the entry to close any over- or underapplied overhead to Cost of Goods Sold. View transaction list Journal entry worksheet 1 > Record the entry to allocate any overapplied or underapplied overhead. Note: Enter debits before credits. Date General Journal Debit Credit 1 Record the entry to allocate any overapplied or underapplied overhead. Note: Enter debits before credits. Date General Journal Debit Credit December 31 Cash Cost of goods sold Factory overhead Factory wages payable ord ent Finished goods inventory Overapplied overhead Sales Underapplied overhead Work in process inventory