50.1K

Verified Solution

Link Copied!

Cambridge Manufacturing Company applies manufacturing overhead on the basis of machine hours. At the beginning of the year, the company estimated its total overhead cost to be $298,300 and machine hours to be 15,700. Actual manufacturing overhead and machine hours were $336,300 and 16,700, respectively.

Required: 1. & 2. Prepare the journal entries for actual and applied manufacturing overhead and transfer of manufacturing overhead account balance to cost of goods sold. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

• Record the actual manufacturing overhead cost incurred.

Note: Enter debits before credits.

	Transaction General Journal Debit Credit a

• Record the application of manufacturing overhead to production.

Note: Enter debits before credits.

	Transaction General Journal Debit Credit b

• Record the transfer of manufacturing overhead account balance to cost of goods sold.

Note: Enter debits before credits.

	Transaction General Journal Debit Credit c

Answer & Explanation Solved by verified expert

See Answer