A B C D E G 1 Job Cost Journal Entries Prior to the beginning of 2019, Lowe Company estimated that it would incur 2 $176,000 of manufacturing overhead cost during 2019, using 16,000 direct labor hours to produce 3 the desired volume of goods. On January 1, 2019, beginning balances of Materials Inventory, Work-in- 4 Process Inventory, and Finished Goods Inventory were $28,000, S-0-, and $43,000, respectively. 6 Required Prepare general journal entries to record the following for 2019: 7 a. Purchased materials on account, $39,000. 9 b. Of the total dollar value of materials used, $31,000 represented direct materials and $11,000 10 indirect materials. 11 Deterinined total factory labor, $135,(lo0 (15,000 hrs. @ $9/hr.) 12 d. Of the factory labor, 80 % was direct and 20% indirect. 13 e. Applied manufacturing overhead based on direct labor hours to work-in-process. f. Determined actual manufacturing overhead other than those items already recorded, $92,000. 14 15 (Credit Accounts Payable.) 16 g. Ending inventories of work-in-process and finished goods were $32,000 and $57,000, respectively. Determine the cost of finished goods (credit WIP) and the cost of goods sold (credit FG 17 18 inventory). Make separate entries. 19 h.Transferred the balance in Manufacturing Overhead to Cost of Goods Sold. 20 21 22 General Journal 23 24 Item Debit Credit Description 25 a 26 Purchased materials on account 27 28 29 b 30 31 To record requisition of direct material and indirect material. 32 33 34 c.& d. 35 36 To record distribution of employee wages. 37 38 39 e 40 41 To apply manufacturing overhead 42 43 Hours Rate Overhead rate 44 45 Rate Hours Labor hours 46 Applied overhead 47 48 49 f. 50 To record other manufacturing overhead incurred. 51 52 53 g. 54 To record cost of finished goods. 55 56 Work in process: 57 Beginning balance Charges per entries: 58 b. 59 60 61 Total cost 62 Less ending balance Cost of finished goods 63 64 65 66 67 To record cost of goods sold. 68 69 Finished goods: 70 Beginning balance Cost of goods manufactured Finished goods available Less: Ending balance Cost of goods sold 71 72 73 74 75 76 77 78 To transfer over-applied overhead to the Cost of Goods Sold account. 79 80 Manufacturing overhead: Charges per entries: 81 82 d. 83 f. 84 Total actual overhead 85 Applied overhead Over-applied overhead 86 87 88