The following transactions were incurred by Mooney Fabricators during January, the first month of its fiscal year. Requirements

1. Record the proper journal entry for each transaction.

a. $210,000 of materials were purchased on account.

b. $178,000 of materials were used in production; of this amount, $143,000 was used on specific jobs.

c. Manufacturing labor and salaries for the month totaled $245,000. A total of $220,000 of manufacturing labor and salaries was traced to specific jobs, while the remainder was indirect labor used in the factory.

d. The company recorded $16,000 of depreciation on the plant and plant equipment. The company also received a plant utility bill for $8,000 which will be paid at a later date.

e. $74,000 of manufacturing overhead was allocated to specific jobs.

2. By the end of January, was manufacturing overhead overallocated or underallocated? By how much?