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Problem 3-43 Basic Job-Older Costing: Journal Entries (LO 3-4 , 3.5 g) Burtington Clock Works manufactures fine, handcrafted clocks. The firm uses a job order costing syctem, and manufacturing overhead is applied on the basis of direct Jabor hours. Estimated manufacturing overhead for the year is $240.000. The firm employs 10 master clockmakers, who constitute the direct labor force. Each of these employees is expected to work 2.000 hours during the year, which represents each employee's practical capacity. The following events occured during October. a. The firm purchased 3,000 board feet of mahogany veneer at S1 i per board foot. b. Twenty brass counterweights were requisitioned for production. Each weight cost $23. e. Five gellons of glue were requisitioned for production. The glue cost $20 per gallon. Glue is treated as an indirect material. d. Depreciation on the clockworks building for October was $8,000 e. A $400 utility bill was paid in cash. t. Time cards showed the following usage of labor Job number G60: 12 grandfather clocks. 1,000 hours of direct labor Job number C8I: 20 cuckoo clocks, 700 hours of direct labor The master clockmakers (direct-labor personnel) eam S20 per hour E. The October property tax bill for $010 was received but has not yet beea paid in cash. h. The frm employs laborers who perform various tasks such as material handing and shop cleanup. Their wages for Page 121 October amounted to $2.500 i. Job sumber G60, which was started in July, was funished in October. The total cost of the job was $14.400. J. Nine of the grandfather clocks from job number G60 were sold in October for $1.500 each. Required: 1. Calculate the firm's predetermined oxerhead rate for the year 2. Prepare journal entres to record the events desenibed above