The Polaris Company uses a job-order costing system. The following transactions occurred in October: a. Raw materials purchased on account, $210,000. b. Raw materials used in production, $188,000 ($150,400 direct materials and $37,600 indirect materials). c. Accrued direct labor cost of $50,000 and indirect labor cost of $22,000. d. Depreciation recorded on factory equipment, $105,000. e. Other manufacturing overhead costs accrued during October, $129,000. f. The company applies manufacturing overhead cost to production using a predetermined rate of $9 per machine-hour. A total of 76,000 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 $452,000 to complete according to their job cost sheets were shipped to customers during the month. These jobs were sold on account at 24% 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 $35,000. 1 Raw materials purchased on account, $210,000. 2 Record the raw materials issued to production, $188,000 ($150,400 direct materials and $37,600 indirect materials). 3 Record the entry for accrued direct labor cost incurred, $50,000; indirect labor cost incurred, $22,000. 4 Depreciation recorded on factory equipment, $105,000. 5 Other manufacturing overhead costs accrued during October, $129,000. 6 The company applies manufacturing overhead cost to production on the basis of $9 per machine-hour. A total 7 Jobs costing $512,000 according to their job cost sheets were completed during October and transferred to Finished Goods. 8 Record the cost of goods sold. 9 Record the sales on account. Note: Enter debits before credits. Transaction General Journal Debit Credit a. Required 1 Required 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 $35,000. Manufacturing Overhead Work in Process Beg. Bal. End. Bal. End. Bal