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Requirements Record the journal entries for direct materials, direct labor, variable overhead, and fixed overhead, assuming all expenditures were on account and there were no beginning or ending balances in the inventory accounts (all materials purchased were used in production, and all goods produced were sold). Record the journal entries for the transfer to Finished Goods Inventory and Cost of Goods Sold (omit the journal entry for Sales Revenue). Record the journal entry to adjust the Manufacturing Overhead account. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Data table Data table Standards: 3 yards of cloth per unit at $1.20 per yard 2 direct labor hours per unit at $18.50 per hour Overhead allocated at $4.00 per direct labor hour Actual: 2,400 yards of cloth were purchased at $1.25 per yard Employees worked 1,700 hours and were paid $18.00 per hour Actual variable overhead was $1,800 Actual fixed overhead was $3,700