Two part question. Part A is correct.

Required Information The following information applies to the questions displayed below.] Bergamo Bay's computer system generated the following trial balance on December 31, 2019. The company's manager knows something is wrong with the trial balance because it does not show any balance for Work In Process Inventory but does show a balance for the Factory Overhead account. In addition, the accrued factory payroll (Factory Wages Payable) has not been recorded. Credit Debit $ 70,000 39,000 24,500 12,000 4,000 Cash Accounts receivable Raw materials inventory Work in process inventory Finished goods inventory Prepaid rent Accounts payable Notes payable Common stock Retained earnings Sales Cost of goods sold Factory overhead Operating expenses Totals $ 8,900 11,900 40,000 86,000 193,700 119,000 27,000 45,000 $340,500 $340, 500 After examining various files, the manager Identifies the following six source documents that need to be processed to bring the accounting records up to date. Materials requisition 21-3010: Materials requisition 21-3011: Materials requisition 21-3012: Labor time ticket 6052: Labor time ticket 6053: Labor time ticket 6054: $ 5,000 direct materials to Job 402 $ 7,200 direct materials to Job 404 $ 1,900 indirect materials $ 4,000 direct labor to Job 402 $16,000 direct labor to Job 404 $ 5,000 indirect labor Jobs 402 and 404 are the only units in process at year-end. The predetermined overhead rate is 150% of direct labor cost. Complete this question by entering your answers in the tabs below. Required 2A Required 2B Post any entries from part 1 related to factory overhead to the T-account below to determine the amount of under- or overapplied overhead for the year. Determine whether there is any under- or overapplied overhead for the year. Overhead applied Ending balance from trial balance Indirect materials Indirect labor Revised Factory Overhead account 27,000 30,000 1,900 5,000 Underapplied overhead 3,900 Answer is complete and correct. Complete this question by entering your answers in the tabs below. Required 2A Required 2B Prepare the adjusting entry to allocate any over- or underapplied overhead to Cost of Goods Sold, assuming the amount is not material. No General Journal Credit Date Dec 31 Debit 3.900 Cost of goods sold Factory overhead 3,900