1- Storm Concert Promotions: Determine whether overhead is overapplied or underapplied. 2- Storm Concert Promotions: Prepare the journal entry to allocate (close) overapplied or underapplied overhead to Cost of Goods Sold.
3- Valle Home Builders: Determine whether overhead is overapplied or underapplied.
4- Valle Home Builders: Prepare the journal entry to allocate (close) overapplied or underapplied overhead to Cost of Goods Sold.

Storm Concert Promotions Valle Home Builders
Actual indirect materials costs $12,800 $6,800
Actual indirect labor costs $55,500 $47,000
Other overhead costs $17,100 $49,000
Overhead applied $91,600 $98,400

Answer and Explanation:

1. The overhead is overapplied or underapplied is shown below:-

Valle Home Storm:

Particulars                                    Amount

Indirect materials           $12,800 $91,600    Applied overhead

Indirect Labor                  $55,500

Other overhead costs       $17,100

                                           $85,400 $6,200  Over applied overhead

2. The Journal entry is shown below:-

Factory overhead Dr, $6,200  

      To Cost of goods sold $6,200

(Being overapplied overhead is recorded)

3. The overhead is overapplied or underapplied is shown below:-

Valle Home Builders:

Indirect materials             $6,800    $98,400 Applied overhead

Indirect Labor                   $47,000

Other overhead costs     $49,000

Underapplied overhead  $4,400

4. The Journal entry is shown below:-

Cost of goods sold Dr, $4,400

     To Factory overhead $4,400

(Being under applied is recorded)

1   all nations face the problem of scarcity because there are limited resources and unlimited wants. nations do not have enough factors of production to produce everything that their population wants. entrepreneurial resources initiate businesses to make new goods and services; labor resources produce goods and services.

2 there are four factors of production: natural resources, labor resources, capital resources, and entrepreneurial resources. natural resources are raw materials from nature that are used to produce goods. trees, water, and grains are natural resources. some natural resources, such as wheat and cattle, are renewable

3 wants

things that you do not need to have in order to survive, but would like to have

needs

things that you must have in order to survive

goods

physical products

services

tasks that a business perform for customers

resources

items that people can use to make or obtain what they need or want

determine

to settle or decide by choice of alternatives or possiblities

4 i really dont know

the answerr would be 1