Waterways have two major public-park projects to provide comprehensive irrigation in one of its service locations this month. Job J57 and Job K52 involve 15 acres of landscaped terrain, which will require special-order, sprinkler heads to meet the specifications of the project. Using a job cost system to produce these parts, the following events occurred during December. Raw materials were requisitioned from the companys inventory on December 2 for $5,067; on December 8 for $1,065; and on December 14 for $3,459. In each instance, two-thirds (2/3) of these materials were for J57 and the rest for K52. Six-time tickets were turned in for these two projects for a total amount of 18 hours of work. All the workers were paid $17.5 per hour. The time tickets were dated December 3, December 9, and December 15. On each of those days, 6 labor hours were spent on these jobs, two-thirds (2/3) for J57 and the rest for K52. The predetermined overhead rate is based on machine hours. The expected machine hour use for the year is 2,097 hours, and the anticipated overhead costs are $830,412 for the year. The machines were used by workers on projects K52 and J57 on December 3, 9, and 15. Six machine hours were used for project K52 (2 each day), and 8.5 machine hours were used for project J57 (2.5 the first day and 3 each of the other days). Both of these special orders were completed on December 15, producing 200 sprinkler heads for J57 and 100 sprinkler heads for K52. Additional job order activities during this period included:

Dec.	1		Purchased raw materials from Durbin Supply Company on account for $53,400.
Dec.	2		Issued $40,300 of direct materials from the companys inventory to jobs other than K52 and J57 and $3,100 of indirect materials.
Dec.	12		Paid Waterways factory salaries and wages for $64,700.
Dec.	13		Paid the factorys water bill of $9,100.
Dec.	18		Transferred $50,300 of costs from other completed jobs to finished goods.
Dec.	21		Paid the factorys electric bill of $11,900 for the Waterways factory.
Dec.	31		Made adjusting entries forth the factory that included accrued property taxes of $12,100, prepaid insurance of $8,900, and accumulated depreciation of $16,100.

Set up the job cost sheets for Job No. J57 and Job No. K52. Determine the total cost for each manufacturing special order for these jobs.

		Job No. J57		Job No. K52
Total Cost		$		$
Unit Cost		$		$

Journalize the activities from these job cost sheets in the general journal. Also, journal the other costs that occurred during this period.

Journalize the activities from these job cost sheets in the general journal. Also, journal the other costs that occurred during this period.

Assuming that Manufacturing Overhead has a debit balance of $3,600, determine whether overhead has been under/over applied and make the adjusting entry.