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In Class Problem - Chapter 2 On April 1st, Grace's Printing has Work in Process inventory of $2,700, Raw Materials inventory is $1,500 and Manufacturing Overhead has a $300 credit balance. Subsidiary data for WIP on 4/1 includes: Jobs by Customer Jane Kelley Direct Materials $1,000 Direct Labor Manufacturing Overhead $1,000 $700 Write the journal entries that are required when: Accumulating cost entries: 1) Raw materials of $2,000 are purchased on account. 2) $1,200 is paid for repairs on factory equipment. 3) Factory rent of $1,000 is paid. 4) $4,700 is paid to factory employees for payroll. Assigning cost entries: 5) A review of materials requisition slips during April shows: Jobs by Customer Material Requisition Slip Jane Kelley $1,000 Lexis Smith 1,500 2,500 Indirect materials 300 Total $2.800 6) A review of time tickets during April shows: Jobs by Customer Time Tickets Jane Kelley $2,100 Lexis Smith 1,900 4,000 Indirect labor 700 Total $4,700 7) Estimated manufacturing overhead for the year was $70,000 and overhead is applied based on direct labor dollars which were estimated at $100,000 for the year. Give the journal entry and note the predetermined overhead rate. Storage and Selling entries: 8) The print job for Jane Kelley is completed during April. 9) Jane Kelley's print job is sold on April 30th at cost plus 75%. Manufacturing Overhead Clearing Entry: 10) Pretend that it is year end and make the entry to clear manufacturing overhead

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