A machine shop that uses job order costing. Overhead isapplied to individual jobs ata predetermined rate based on directlabor costs. the job costs sheet for job no. 321 appears below:
Job Cost Sheet
Job Number:321 Date Started: May 10
Product: 2" Brass Checkvalves Date Completes: May 21
Units Completed: 4,000
Direct omaterials used.....................................$7,720
Directlabor.....................................................1,400
Manufacturing overheadapplied...................... 3,080
Total cost of job no. 321.................................$12,200
Unit cost ( $12,200 / 4,00 units...................... $3.05
Prepare general journal entires to recordthe credit sale of2,100 units from job no. 321 at a unit sales price of $5. Record in a seperate entry the related cost of goods sold.