Widmer Watercraft's predetermined overhead rate is 200% of direct labor. Information on the company's production activities during May follows. a. Purchased raw materials on credit, $240,000. b. Materials requisitions record use of the following materials for the month. Job 136 Job 137 Job 138 Job 139 Job 140 Total direct materials Indirect materials Total materials used $ 48,000 32,500 20,200 23,888 6,608 130,300 20,000 $150,300 c. Pald $16,000 cash to a computer consultant to reprogram factory equipment. d. Time tickets record use of the following labor for the month. These wages were paid in cash. Job 136 Job 137 Job 138 Job 139 Job 140 Total direct labor Indirect labor Total $ 12,180 10,600 37,500 39,400 3,200 102,800 26,000 $128,800 e. Applied overhead to Jobs 136, 138, and 139. f. Transferred Jobs 136, 138, and 139 to Finished Goods. g. Sold Jobs 136 and 138 on credit at a total price of $545,000. h. The company Incurred the following overhead costs during the month (credit Prepaid Insurance for explred factory Insurance). Depreciation of factory building Depreciation of factory equipment Expired factory insurance Accrued property taxes payable $68,500 38,888 12,000 36,580 1. Applied overhead at month-end to the Work In Process Inventory account (Jobs 137 and 140) using the predetermined overhead rate of 200% of direct labor cost. 1. Applied overhead at month-end to the Work in Process Inventory account (Jobs 137 and 140) using the predetermined overhead rate of 200% of direct labor cost. Problem 02-3A Part 2 2 Prepsre journal entries to record the events and transactions a through i. No Transaction General Journal Credit Debit 240.000 1 Raw materials inventory Accounts payable olol 240,000 2 b. Work in process inventory Factory overhead Raw materials inventory solo 130,300 20,000 OO 150.300 16.000 Factory overhead Cash lolo 16.000 4 Work in process inventory Factory Overhead Cash OOOO 102,800 26.000 os 126.800 5 178,000 Work in process inventory Factory overhead OO 178,000 6 f. 358200 Finished goods inventory Work in process inventory lolo 356200 7 9/1) 545,000 Accounts receivable Sales olo 545,000 8 9/21 217.000 Cast of goods sold Finished goods inventory lolo 217.000 9 h. 155.000 > 68 500 Factory overhead Accum. depreciation-Factory building Prepaid insurance Property taxes payable Accum. depreciation-Factory equipment OOOOO 38.000 12.000 36,500 10 27.600 Work in process inventory Factory overhead DO 27,600