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Verizox Company uses a job order cost system with manufacturing overhead applied to products based on direct labor hours. At the beginning of the most
Verizox Company uses a job order cost system with manufacturing overhead applied to products based on direct labor hours. At the beginning of the most recent year, the company estimated its manufacturing overhead cost at $300,000. Estimated direct labor cost was $400,000 for 20,000 hours Actual costs for the most recent month are summarized here: Item Description Total Cost Direct labor (1,500 hours) S 33,000 Indirect costs Indirect labor 4.500 Indirect materials 2.500 Factory rent 4,200 Factory supervision 4,700 Factory depreciation 5,600 Factory janitorial work 1,200 Factory insurance 2.600 General and administrative salaries 3.100 Selling expenses 2.300 Required: 1., 2. & 3-a. Prepare the journal entries for overhea View transaction list Journal entry worksheet 2 3 Record the application of manufacturing overhead to production. Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry Clear entry View general journal
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