1.

Prepare journal entries for variable and fixed manufacturing overhead? (you will need to calculate the various variances to accomplish? this).

2.

Overhead variances are written off to the Cost of Goods Sold? (COGS) account at the end of the fiscal year. Show how COGS is adjusted through a journal entries

	Actual	Flexible	Static	Allocated
	Results	Budget	Budget	Amount
Output units	636		594
Machine-hours	1,081	1,908	1,782
Machine-hours per output unit	1.70		3.00
Variable MOH costs	$44,321	$72,504	$67,716	$72,504
Variable MOH costs per machine-hour			$38.00
Fixed MOH costs \\	$350,210	$347,490		$376,310
Fixed MOH costs per machine-hour			$195.00

	Actual	Flexible	Static	Allocated
	Results	Budget	Budget	Amount
Output units	636		594
Machine-hours	1,081	1,908	1,782
Machine-hours per output unit	1.70		3.00
Variable MOH costs	$44,321	$72,504	$67,716	$72,504
Variable MOH costs per machine-hour			$38.00
Fixed MOH costs	$350,210	$347,490		$376,310
Fixed MOH costs per machine-hour			$195.00