Patel Foundry uses a predetermined overhead allocation rate to allocate overhead to individual jobs, based on the machine hours required.

$($Click the icon to view the costs.$)$

Read the requirements.

$\backslash$table$[[,,,,],[$Estimated overhead cost,$+,$Estimated machine hours,$=,$allocation rate$],[$$$8,,80,000,=$$$11,$per machine hour$]]$

Requirement $2.$ Prepare the journal entry to allocate manufacturing overhead. $($Record debits first, then credif

$\backslash$table$[[$Date$,$Accounts and Explanation,Debit,Credit$],[$Dec$.31,\backslash$table$[[$Work$-$in$-$Process Inventory$],[$Manufacturing Overhead$],[$Allocated overhead to WIP.$]],726,000,726,000]]$

Manufacturing Overhead

$\backslash$table$[[,,,],[$Manufacturing overhead allocated,$,,$