Question: Refer to information in Exercise. Prepare journal entries to record the following production activities.
1. Paid overhead costs (other than indirect materials and indirect labor) of $22,000.
2. Applied overhead at 90% of direct labor costs.
Exercise: Prepare journal entries to record the following production activities.
1. Incurred total labor cost of $77,000, which is paid in cash.
2. Used $58,000 of direct labor in production.
3. Used $19,000 of indirect labor.