The following information was taken from the job cost sheet for Job 101 for Granison Manufacturing Company:
Direct materials used, $6,000.00
Direct labor incurred, $2,850.00
Applied manufacturing overhead, $1,425
Job 101 was sold on account for 160% of its cost. Factory overhead is applied on the basis of direct labor cost.
Required
1. Prepare the journal entries to record the costs (direct mateiral used, direct labor incurred and factory overhead applied) assigned to Job 101:
2. Prepare the journal entry to record the completion of Job 101.
3. What is the predetermined factory overhead rate for Granison Manufacturing?
4. Prepare the journal entry to record the sale of Job 101.