(1) Purchase of direct materials $2,500
(2) Issue of direct materials 1,500
(3) Incurrence of direct labor cost 850
(4) Application of overhead 340
(5) Incurrence of actual overhead cost 415
(6) Transfer of job 101 to finished good 1840 1,840
(7a) Cost of goods sold of job 101
(8) Closing out unde overhead