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Taylor Corporation uses a job order costing system and allocates manufacturing overhead at a rate of $30 per machine hour. During the period, the company used 800 machine hours and actually incurred manufacturing overhead costs of $23,800.
Prepare the summary journal entry to record:
a. Total manufacturing overhead allocated to jobs during the period.
b. Actual overhead costs incurred during the period (make the credit portion of the entry to "various accounts").
c. To close the Manufacturing Overhead account directly to Cost of Goods sold at the end of the period.
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