The following data (in thousands) summarize the factory operations of the Smothers Manufacturing Company for the year 2011, its first year in business:

a. Direct materials purchased for cash ...................................................$360
b. Direct materials issued and used ..........................................................325
c. Labour used directly on production ......................................................130
d1. Indirect labour .........................................................................................90
d2. Depreciation of plant and equipment ..................................................50
d3. Miscellaneous factory overhead (ordinarily would be detailed) .......40
e. Overhead applied: 180% of direct labour .................................................?
f. Cost of production completed ................................................................625
g. Cost of goods sold ...................................................................................425

1. Prepare summary journal entries. Omit explanations. For purposes of this problem, combine the items in part d as “overhead incurred. ?

2. Show the T-accounts for all inventories, cost of goods sold, and factory department overhead control. Compute the ending balances of the inventories. Do not adjust for under applied or over applied factory overhead.