Machine-hours 61,000Manufacturing overhead cost \$ 1,324,000Inventories at year-end:Raw materials \$ 16,000Work in process (includes overhead applied of \$115,900) \$ 188,000Finished goods (includes overhead applied of \$208,620) \$ 338,400Cost of goods sold (includes overhead applied of \$834,480) \$ 1,353,600The predetermined overhead rate was based on a cost formula that estimates \$1,368,000 of total manufacturing overhead for an estimated activity level of 72,000 machine-hours.Assume that the company allocates any underapplied or overapplied overhead proportionally to Work in Process, Finished Goods, and Cost of Goods Sold. Prepare the appropriate journal entry.What is the journal entry amount?I have the entries ( COGS & Finished Goods).

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Topic Video
Question

Machine-hours 61,000
Inventories at year-end:
Raw materials \$ 16,000
Work in process (includes overhead applied of \$115,900) \$ 188,000
Finished goods (includes overhead applied of \$208,620) \$ 338,400
Cost of goods sold (includes overhead applied of \$834,480) \$ 1,353,600

The predetermined overhead rate was based on a cost formula that estimates \$1,368,000 of total manufacturing overhead for an estimated activity level of 72,000 machine-hours.

Assume that the company allocates any underapplied or overapplied overhead proportionally to Work in Process, Finished Goods, and Cost of Goods Sold. Prepare the appropriate journal entry.

What is the journal entry amount?

I have the entries ( COGS & Finished Goods).

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