The following information was taken from the job cost sheet for Job 101 for Milanello

Manufacturing:

Date started: April 5, 2018 Date completed: May 21, 2018 Date Direct Direct Factory Materials labour Overhead 05-04 E3,000 15-04 E900 E450 17-04 E1,500 22-04 E1,350 E675 01-05 E1,500 21-05 $600 E300 Job 101 was sold on account on May 25, 2018, for 160 per cent of its cost. Requirement a) Prepare the journal entries to record the costs incurred for Job 101 for direct materials, direct labour, and factory overhead. b) Prepare the journal entry to record the completion of Job 101. c) Compute the predetermined factory overhead rate used by Milanello Manufacturing. d) Prepare the journal entries to record the sale of Job 101. e) Why is the computation of predetermined overhead allocation rates necessary? Briefly discuss the pros and cons of using predetermined overhead allocation rates