Applied vs. Actual Manufacturing Overhead Sloan Manufacturing Corporation applies manufacturing overhead on the basis of 120% of direct labor cost. An analysis of the related accounts and job order cost sheet indicates that during the year total manufacturing overhead incurred was $105,000 and that at year-end Work in Process Inventory. Finished Goods Inventory, and Cost of Goods Sold included $15,000 $10,000 and $75,000, respectively, of direct labor incurred during the current year a. Determine the over-applied manufacturing overhead at year-end (assume it is significant Applied Manufacturing Overhead Work in process Finished goods Cost of goods sold Total: Over-applied manufacturing overhead s b. Prepare a journal entry to record the disposition of the over-applied manufacturing overhead General Journal Description