XYZ Company had the following information:

Budgeted overhead $75,000

Actual overhead $80,000

Budgeted Direct-labor hours 20,000

Ending balances in the following accounts:

	Ending Balance	Actual DLH in Ending Balance
Raw Materials Inventory	$ 40,000	0
Work In Process Inventory	$ 30,000	2,100
Finished Goods Inventory	$ 60,000	8,400
Cost of Goods Sold	$210,000	10,500

• Prepare the journal entry using the adjusted allocation method, ie. prorate the under- or over-allocated manufacturing overhead based on the overhead allocated in the ending balances of WIP, F/G and COGS
• Prepare the journal entry to close the overhead accounts using the proration method, ie., prorate the under- or over-allocated manufacturing overhead based on the ending balances in WIP, F/G and COGS.
• Prepare the journal entry to close the overhead accounts if the balance in (c) is considered immaterial and written off to COGS.