Use account titles for correct journal entries. The overhead rate is $50 per direct labor hour.

Accounts receivable, Raw Materials inventory, Wages payable

Accounts payable, Manufacturing overhead, Accumulated depreciation

Cash, Work in process inventory, Depreciation expense

Sales, Advertising expense, Utility expense

Costs of goods sold, Finished goods inventory

2. Manufacturing overhead costs are applied to production. A total of 30,000 direct labor hours are worked.