Question

Sweeten Company had no jobs in progress at the beginning of March and no beginning inventories. It started only two jobs during March—Job P and Job Q. Job P was completed and sold by the end of the March and Job Q was incomplete at the end of the March. The company uses a plantwide predetermined overhead rate based on direct labor-hours. The following additional information is available for the company as a whole and for Jobs P and Q (all data and questions relate to the month of March):

Estimated total fixed manufacturing overhead	$	13,200
Estimated variable manufacturing overhead per direct labor-hour	$	1.20
Estimated total direct labor-hours to be worked		3,300
Total actual manufacturing overhead costs incurred	$	17,000
Direct Materials Job P: $17,500 Job Q: $9,300 Direct Labor Cost Job P: $43,200 Job Q: $11,700 Actual direct labor hours worked Job P: 2,400 Job Q: 650 -Prepare the journal entry to apply manufacturing overhead costs to production -Assume the ending raw materials inventory is $2,300 and the company does not use any indirect materials. Prepare a schedule of cost of goods manufactured. -Prepare the journal entry to transfer costs from Work in Process to Finished Goods. -

Prepare a completed Work in Process T-account including the beginning and ending balances and all debits and credits posted to the account.

-Prepare a schedule of cost of goods sold.

-Prepare the journal entry to transfer costs from Finished Goods to Cost of Goods Sold

-What is the amount of underapplied or overapplied overhead?

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Prepare the journal entry to close the amount of underapplied or overapplied overhead to Cost of Goods Sold.

-Assume that Job P includes 20 units that each sell for $4,500 and that the company’s selling and administrative expenses in March were $10,000. Prepare an absorption costing income statement for March.