Answer:
Raw materials
<u>Debit Credit</u>
299,000
Wages Payable
<u>Debit Credit</u>
146,000
Factory Overhead
<u>Debit Credit</u>
708,200
WIP inventory
<u>Debit Credit</u>
299,000
146,000
<u> 708,200</u>
1,153,200
Explanation:
3,500pounds x $20 overhead per pound = 70,000
710 inspections x $220 per inspection = 156,200
50 setups x $2,500 per setup = 125,000
17,000 machine hours x $21 = <u> 357,000</u>
Total applied overhead: 708,200
The raw material will be credited as we decrease our inventory
the Direct labor will be wages payable
the factory overhead will be credited to represent the allcoated amount