The Polaris Company uses a job-order costing system. The following transactions occurred in October:

A. Raw materials purchased on account, $209,000.

B. Raw materials used in production, $190,000 ($152,000 direct materials and $38,000 indirect materials).

C.Accrued direct labor cost of $49,000 and indirect labor cost of $21,000.

D. Depreciation recorded on factory equipment, $106,000.

E. Other manufacturing overhead costs accrued during October, $129,000.

F. The company applies manufacturing overhead cost to production using a predetermined rate of $8 per machine-hour. A total of 76,400 machine-hours were used in October.

G. Jobs costing $512,000 according to their job cost sheets were completed during October and transferred to Finished Goods.

H. Jobs that had cost $450,000 to complete according to their job cost sheets were shipped to customers during the month. These jobs were sold on account at 34% above cost.

Required:

1. Prepare journal entries to record the transactions given above.

2. Prepare T-accounts for Manufacturing Overhead and Work in Process. Post the relevant transactions from above to each account. Compute the ending balance in each account, assuming that Work in Process has a beginning balance of $33,000. (please use the letters to say where each transaction belongs too)