QS 15-12 Entry for over- or underapplied overhead LO P4 A company's Factory Overhead account shows total debits of $624,000 and total credits of $671,000 at the end of the year. Determine whether there is over- or underapplied overhead using the T-account below. Factory Overhead Prepare the journal entry to close the balance in the Factory Overhead account to Cost of Goods Sold. View transaction list Journal entry worksheet Record the entry to close the balance in the Factory Overhead account. Note: Enter debits before credits Transaction 1 General Journal Debit Credit Record entry Clear entry View general journal