Question - The following transactions were incurred by Dimasi Industries during January 2013:
(1) Issued $800,000 of direct material to production.
(2) Paid 40,000 hours of direct labor at $18 per hour.
(3) Accrued 15,500 hours of indirect labor cost at $15 per hour.
(4) Recorded $102,100 of depreciation on factory assets.
(5) Accrued $32,800 of supervisors' salaries.
(6) Issued $25,400 of indirect material to production.
(7) Completed goods costing $1,749,300 and transferred them to finished goods.
a. Prepare journal entries for these transactions using a single overhead account for variable and fixed overhead. The Raw Material Inventory account contains only direct material; indirect material costs are recorded in Supplies Inventory.
b. If Work in Process Inventory had a beginning balance of $18,900 and an ending balance of $59,600, what amount of manufacturing overhead was included in Work in Process Inventory during January 2013?