Please help Southern Rim Parts estimates its manufacturing overhead to be $432,000 and its direct labor costs to be $1.080,000 for year 1. Thefirst three jobs that Southern Rim worked on had actual direct labor costs of $67,000 for Job 301, $92,000 for Job 302, and $185,000for Job 303. For the year, actual manufacturing overhead was $389,000 and total direct labor cost was $832,000. Manufacturingoverhead 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 inventoryFinished goods inventoryCost of goods sold33,280116,480183,040Required:Prepare an entry to prorate the under- or overapplied overhead assuming the company uses both Applied Manufacturing Overheadand Manufacturing Overhead Control accounts. (If no entry is required for a transaction/event, select "No journal entry required" inthe first account field.)

Manufacturing overhead Under applied or overapplied = Actual manufacturing overhead- Applied…

Required: Prepare an entry to prorate the under- or overapplied overhead assuming the company uses both Applied Manufacturing Overhead and Manufacturing Overhead Control accounts. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

Required: Prepare an entry to prorate the under- or overapplied overhead assuming the company uses both Applied Manufacturing Overhead and Manufacturing Overhead Control accounts. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter3: Process Cost Systems

Section: Chapter Questions

Problem 4E: The cost accountant for River Rock Beverage Co. estimated that total factory overhead cost for the...

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Please help

Southern Rim Parts estimates its manufacturing overhead to be $432,000 and its direct labor costs to be $1.080,000 for year 1. The
first three jobs that Southern Rim worked on had actual direct labor costs of $67,000 for Job 301, $92,000 for Job 302, and $185,000
for Job 303. For the year, actual manufacturing overhead was $389,000 and total direct labor cost was $832,000. 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
Finished goods inventory
Cost of goods sold
33,280
116,480
183,040
Required:
Prepare an entry to prorate the under- or overapplied overhead assuming the company uses both Applied Manufacturing Overhead
and Manufacturing Overhead Control accounts. (If no entry is required for a transaction/event, select "No journal entry required" in
the first account field.)

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