P2-2A For the year ended December 31, 2014, the job cost sheets of Cinta Company contained the following data. Job Direct Total Manufacturing Overhead Direct Number Explanation Materials Labor Costs $ 77,800 109,200 50,600 148,600 179,000 7640 Balance 1/1 $25,000 30,000 11,000 $24,000 36,000 18,000 48,000 55,000 $28,800 43,200 Current year's costs Balance 1/1 Current year's costs Current year's costs 7641 21,600 43,000 58,000 57,600 7642 66,000 Other data: 1. Raw materials inventory totaled $15,000 on January 1. During the year, $140,000 of raw materials were purchased on account. 2. Finished goods on January 1 consisted of Job No. 7638 for $87,000 and Job No. 7639 for $92,000. 3. Job No. 7640 and Job No. 7641 were completed during the year. 4. Job Nos. 7638, 7639, and 7641 were sold on account for $530,000. 5. Manufacturing overhead incurred on account totaled $120,000. 6. Other manufacturing overhead consisted of indirect materials $14,000, indirect labor $18,000, and depreciation on factory machinery $8,000.

P2-2A For the year ended December 31, 2014, the job cost sheets of Cinta Company contained the following data. Job Direct Total Manufacturing Overhead Direct Number Explanation Materials Labor Costs $ 77,800 109,200 50,600 148,600 179,000 7640 Balance 1/1 $25,000 30,000 11,000 $24,000 36,000 18,000 48,000 55,000 $28,800 43,200 Current year's costs Balance 1/1 Current year's costs Current year's costs 7641 21,600 43,000 58,000 57,600 7642 66,000 Other data: 1. Raw materials inventory totaled $15,000 on January 1. During the year, $140,000 of raw materials were purchased on account. 2. Finished goods on January 1 consisted of Job No. 7638 for $87,000 and Job No. 7639 for $92,000. 3. Job No. 7640 and Job No. 7641 were completed during the year. 4. Job Nos. 7638, 7639, and 7641 were sold on account for $530,000. 5. Manufacturing overhead incurred on account totaled $120,000. 6. Other manufacturing overhead consisted of indirect materials $14,000, indirect labor $18,000, and depreciation on factory machinery $8,000.

FINANCIAL ACCOUNTING

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Chapter1: Financial Statements And Business Decisions

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Question

Please see the attachment for data

Question :

Prepare the adjusting entry for manufacturing overhead, assuming the balance is allocated entirely to Cost of Goods Sold

Thanks in advance

P2-2A For the year ended December 31, 2014, the job cost sheets of Cinta Company
contained the following data.
Job
Direct
Total
Manufacturing
Overhead
Direct
Number
Explanation
Materials
Labor
Costs
$ 77,800
109,200
50,600
148,600
179,000
7640
Balance 1/1
$25,000
30,000
11,000
$24,000
36,000
18,000
48,000
55,000
$28,800
43,200
Current year's costs
Balance 1/1
Current year's costs
Current year's costs
7641
21,600
43,000
58,000
57,600
7642
66,000
Other data:
1. Raw materials inventory totaled $15,000 on January 1. During the year, $140,000 of raw
materials were purchased on account.
2. Finished goods on January 1 consisted of Job No. 7638 for $87,000 and Job No. 7639
for $92,000.
3. Job No. 7640 and Job No. 7641 were completed during the year.
4. Job Nos. 7638, 7639, and 7641 were sold on account for $530,000.
5. Manufacturing overhead incurred on account totaled $120,000.
6. Other manufacturing overhead consisted of indirect materials $14,000, indirect labor
$18,000, and depreciation on factory machinery $8,000.

Definition Definition Entries made at the end of every accounting period to precisely replicate the expenses and revenue of the current period. This is also known as end of period adjustment. It can also refer to financial reporting that corrects errors made previously in the accounting period. Every adjustment entry affects at least one real account and one nominal account.

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