work in process inventory $37,935

finished goods inventory $88,515

Costs of Goods sold $295,050

Southern Rim Parts estimates its manufacturing overhead to be $485,000 and its direct labor costs to be $970,000 for yeart. The first three jobs that Southern Rim worked on had actual direct labor costs of $56,000 for Job 301. $81,000 for Job 302, and $130,000 for Job 303. For the year, actual manufacturing overhead was $444,000 and total direct labor cost was $843,000. Manufacturing overhead is applied to jobs on the basis of direct labor costs using predetermined rates. Overhead applied in each of the inventory accounts is as follows: Work-in-process inventory 5 37,935 Tinished goods inventory 88,515 Cost of goods sold 295,050 Required: Prepare an entry to prorate the under or overapplied overhead. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet