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[The following information applies to the questions displayed below.] Marcelino Co.'s March 31 inventory of raw materials is $88,000. Raw materials purchases in April are $570,000, and factory payroll cost in April is $391,000. Overhead costs incurred in April are: indirect materials, $52,000; indirect labor, $29,000; factory rent, $38,000; factory utilities, $19,000; and factory equipment depreciation, $53,000. The predetermined overhead rate is 50% of direct labor cost. Job 306 is sold for $635,000 cash in April. Costs of the three jobs worked on in April follow.

	Job 306				Job 307				Job 308
Balances on March 31
Direct materials		$	31,000			$	36,000
Direct labor			23,000				15,000
Applied overhead			11,500				7,500
Costs during April
Direct materials			130,000				210,000			$	105,000
Direct labor			103,000				155,000				104,000
Applied overhead			?				?				?
Status on April 30	Finished (sold)				Finished (unsold)					In process

Materials purchases (on credit).

Direct materials used in production.

Direct labor paid and assigned to Work in Process Inventory.

Indirect labor paid and assigned to Factory Overhead.

Overhead costs applied to Work in Process Inventory.

Actual overhead costs incurred, including indirect materials. (Factory rent and utilities are paid in cash.)

Transfer of Jobs 306 and 307 to Finished Goods Inventory.

Cost of goods sold for Job 306.

Revenue from the sale of Job 306.

Assignment of any underapplied or overapplied overhead to the Cost of Goods Sold account. (The amount is not material.)

2. Prepare journal entries for the month of April to record the above transactions.

	No	Transaction	General Journal	Debit	Credit
1	1	a.	Raw materials inventory
2			Accounts payable
3
4	2	b.	Work in process inventory
5			Raw materials inventory
6
7	3	c.	Work in process inventory
8			Cash
9
10	4	d.	Factory overhead
11			Cash
12
13	5	e.	Work in process inventory
14			Factory overhead
15
16	6	f(1).	Factory overhead
17			Raw materials inventory
18
19	7	f(2).	Factory overhead
20			Cash
21
22	8	f(3).	Factory overhead
23			Accumulated depreciation-factory equipment
24
25	9	f(4).	Factory overhead
26			Cash
27
28	10	g.	Finished goods inventory
29			Work in process inventory
30
31	11	h.	Cost of goods sold
32			Finished goods inventory
33
34	12	i.	Cash
35			Sales
36
37	13	j.	Cost of goods sold
38			Factory overhead

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