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Exercise 7-37 (Static) Prorate Over- or Underapplied Overhead (LO 7-3) Marian Manufacturing (2M) applies manufacturing overhead to jobs based on direct labor costs. For Year 2, 2M estimates its manufacturing overhead to be $421,200 and its direct labor costs to be $810,000.2M worked on three jobs for the year. Job 2M1, which was sold during Year 2, had actual direct labor costs of $420,750. Job 2M2, which was completed but not sold at the end of the year, had actual direct labor costs of $283,050. Job 2M3, which is still in work-in-process inventory, had actual direct labor costs of $61,200. Actual manufacturing overhead for Year 2 was $430,000. Required: Prepare an entry to allocate over- or underapplied overhead to Work in Process, Finished Goods and Cost of Goods Sold. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Journal entry worksheet Record the allocation of over- or underapplied overhead. Notes Enter debits before credits