Required information Use the following information to answer

Required information Use the following information to answer questions [The following information applies to the questions displayed belowj The following information is available for Lock-Tite Company, which produces special-order security products and uses a job order costing system April 30 May 31 Inventories Raw materials Work in process Finished goods $45,000 55,000 20,700 34,500 9,800 53,000 Activities and information for May Raw materials purchases (paid with cash) Factory payroll (paid with cash) Factory overhead 179,000 200,000 Indirect materials Indirect labor Other overhead costs 12,000 46,000 117,500 1,200,000 Sales (received in cash) Predetermined overhead rate based on direct labor cost 55% Exercise 19-10 Journal entries for overhead LO P3 1. Incurred other overhead costs (record credit to Other Accounts) 2. Application of overhead to work in process

Solution

1 Factory overhead 117500       Other Accounts 117500 2 Work in Process Inventory 84700 =(200000-46000)*55%       Factory overhead 84700