Straley Inc

question 102

Essay

Straley Inc.has provided the following data for the month of February.There were no beginning inventories;consequently,the direct materials,direct labor,and manufacturing overhead applied listed below are all for the current month. Manufacturing overhead for the month was overapplied by $3,000.
The company allocates any underapplied or overapplied manufacturing overhead among work in process,finished goods,and cost of goods sold at the end of the month on the basis of the overhead applied during the month in those accounts.
Required:
Provide the journal entry that would record the allocation of underapplied or overapplied among work in process,finished goods,and cost of goods sold.

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Definitions:

Production Worker

An employee engaged in manufacturing goods or operating machinery in a production process.

Income Rises

An increase in the amount of money earned by an individual or household over a period.

Primary Job Market

The primary job market encompasses positions that require specialized skills, training, and education, often offering higher pay and more benefits compared to the secondary job market.

Real Wages

Wages adjusted for inflation, representing the actual buying power of compensation for work performed.