The Craft company had the following transactions and events during its first year of operations. Estimated overhead for the year was $770,000; estimated direct labor cost for the year was $350,000.

Required: Prepare the journal entries to record the following transactions for the year.

a. Purchased materials on account: $567,000

b. Requisitioned materials for production as follows: direct materials - 85% of purchase indirect materials - 12% of purchases

c. Direct labor for production is $331,000, indirect labor is $125,000

d. Overhead incurred (NOT including materials or labor): $529,000

e. Overhead is applied to production based on direct labor costs

f. Goods costing $976,000 were completed during the period

g. Goods costing $513,200 were sold on account for $776,000

h. The balance in the manufacturing overhead accounnt was closed out to cost of goods sold.