QUESTION 2 Instructions: Journalize the following transactions and events that took place at Affluent Productions Corp. I Determine the amount of manufacturing overhead cost applied to production for the year. A. Purchased $320,000 of raw materials B. Production requisitioned $88,000 of raw materials of which $5,000 was indirect materials. C. Paid salaries: $150,000 to workers manning the machines and $70,000 to supervisors. D. Applied overhead to production costs, using an activity-based costing system: 1. At the beginning of the year the company made the following estimates of cost and activity for its five activity cost pools: Activity Cost Pool Activity Measure Estimated Overhead Cost Expected Activity Production orders Number of orders $ 76,000 3,000 orders Board etching Number of boards 300,000 2,000 boards Parts management Number of part types 160,000 380 part types Labor related Direct labor-hours 220,000 20,000 direct labor-hours General factory Machine-hours 280,000 75,000 machine-hours 2. During the year, actual activity was recorded as shown on the right: Activity Cost Pool Actual Activity E. Incurred an additional $916,067 of actual overhead costs. Production orders 3,100 orders F. Completed 90% of the job. Board etching 1,800 boards G. Sold 85% of the finished product at a 20% profit. Parts management 380 part types H. Closed out the Factory Overhead accounts, assuming the Labor related 21,000 direct labor-hours misapplied balance was considered (a) immaterial, (b) material. General factory 76,000 machine-hours