Watkins Machinery Company uses a normal job costing system. The company has the following partial trial balance information for March, the last month of its fiscal year: Materials inventory (X, $10,500; Y, $7,000; Indirect materials $17,500) Work-in-process inventory (this is Job 101) Finished goods inventory (this is Job 100) 35,000 18,000 30,000 These transactions relate to the month of March a. Purchased direct materials and indirect materials with the following summary of receiving reports: 35,000 35,000 Material X Material Y Indirect materials 17.500 Total 87,500 b. Issued direct materials and indirect materials with this summary of requisitions: Job 101 Job 102 Total $ 17,500 10,500 3,000 Material X 28,000 17,000 Material Y 14,000 31,500 $ 45,000 13,500 Subtotal Indirect materials 28,000 $ 73,000 Total C. Factory labor incurred is summarized by these time tickets: Job 101 $36,000 Job 102 24,000 Indirect labor 17,500 $77,500 Total d. Factory utilities, factory depreciation, and factory insurance incurred is summarized as follows: Utilities 1,750 Depreciation 52,500 8,750 Insurance $63,000 Total e. Factory overhead costs were applied to jobs at the predetermined rate of $15 per machine hour. Job 101 incurred 4,200 machine hours; Job 102 used 2,800 machine hours. f. Job 101 was completed; Job 102 was still in process at the end of March. g. Job 100 and Job 101 were shipped to customers during March. Both jobs had gross margins of 20% based on manufacturing cost. h. The company closed the overapplied or underapplied overhead to the Cost of Goods Sold account at the end of March Required: 1. Prepare journal entries to record the transactions for the events from parts (a) through (g). 2. Compute the ending balance of the Work-in-process inventory account. 3. Compute the overhead variance and indicate whether it is overapplied or underapplied. 4. Close the overhead variance to the Cost of goods sold account. Comnlete this auestion bv enterina vour answers in the tabs below