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The following information is available for ADT Company, which produces special-order security products and uses a job order costing system. Overhead is applied using a

The following information is available for ADT Company, which produces special-order security products and uses a job order costing system. Overhead is applied using a predetermined overhead rate of 55% of direct labor cost.

Inventories Beginning of period End of Period
Raw materials $ 34,000 $ 59,000
Work in process 9,600 19,800
Finished goods 68,000 34,200

Cost incurred for the period
Raw materials purchases $ 189,000
Factory payroll 100,000
Factory overhead (actual)
Indirect materials used 16,000
Indirect labor used 23,000
Other overhead costs 115,500

1. Direct labor used (recorded as factory wages payable). 2. Indirect labor used (recorded as factory wages payable). Prepare journal entries for the above transactions for the period.

The following information is available for ADT Company, which produces special-order security products and uses a job order costing system. Overhead is applied using a predetermined overhead rate of 55% of direct labor cost.

Inventories Beginning of period End of Period
Raw materials $ 34,000 $ 59,000
Work in process 9,600 19,800
Finished goods 68,000 34,200

Cost incurred for the period
Raw materials purchases $ 189,000
Factory payroll 100,000
Factory overhead (actual)
Indirect materials used 16,000
Indirect labor used 23,000
Other overhead costs 115,500

1. Incurred other actual overhead costs (all paid in Cash). 2. Applied overhead to work in process. Prepare journal entries for the above transactions for the period.

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