The following data relate to the activities of Pardoe Company during the year:

Raw materials purchased on account, $$150,000.$

Raw materials issued to production, $$145,000($all direct materials$).$

Advertising cost incurred for the year, $$50,000($credit accounts payable$).$

Utilities cost incurred for the factory, $$35,000($credit accounts payable$).$

Salaries and wages costs incurred: direct labor, $$250,000(30,000$ hours$)$; indirect labor, $$75,000$; selling and administrative, $$140,000.$

Depreciation recorded for the year, $$20,000,$ of which $75\%$ related to the factory and $25\%$ related to selling and administrative functions.

Other factory overhead costs incurred for the year, $$30,000($credit accounts payable$).$

Other selling and administrative expenses incurred for the year, $$25,000($credit accounts payable$).$

Prepaid insurance of $$4,000$ expired during the year; all of this is related to the factory.

The company applies overhead on the basis of direct labor$-$hours at $$5\mathrm{.}50$ per hour.

The cost of goods manufactured for the year totaled $$550,000.$

Goods that cost $$540,000$ according to their job cost sheets were sold on account for $$800,000.$

Collections on account from customers during the year totaled $$790,000.$

Cash disbursed during the year: on accounts payable, $$300,000$; for salaries and wages, $$460,000.$ Required:

a$.$ Post the above entries directly to Pardoe Company's T$-$accounts on the previous page. Key your entries with the numbers $1-14.$

b$.$ Compute the ending balance in each T$-$account.

c$.$ Is overhead underapplied or overapplied for the year? Close the balance to Cost of Goods Sold. $($Key the entry as #$15.)$