Response to the following questions:
1. In job order cost accounting, which account is debited in recording a raw materials requisition?
(a) Raw Materials Inventory, (b) Raw Materials Purchases, (c) Goods in Process Inventory if for a job, or (d ) Goods in Process Inventory if they are indirect materials.
2. A company allocates overhead at a rate of 140% of direct labor cost. Actual overhead cost for the current period is $745,000, and direct labor cost is $500,000. Prepare the entry to close over- or underapplied overhead to cost of goods sold.