In a job-order system, the actual factory overhead costs incurred are $150,000. Applied factory overhead costs are $160,000. What entry is needed to dispose of the overhead variance? Use the immediate write-off method
A) Debit Factory Department Overhead Control, Credit Factory Department Overhead Applied
B) Debit Factory Department Overhead Applied, Credit Cost of Goods Sold
C) Debit Factory Department Overhead Applied, Credit Finished Goods Inventory
D) Debit Factory Department Overhead Control, Credit Cost of Goods Sold
D
You might also like to view...
If sensitivity analysis indicates none of the individual variables will cause a negative NPV under pessimistic conditions, then the:
A) project's discount rate should be reduced. B) economic forecasts are possibly overly optimistic. C) project is assured to be successful. D) interaction of the variables should be considered.
Drought conditions spike demand during the summer to an annualized rate of 27,000 cans per year and the price rises to $12 per can. If the ordering cost per lot is 75 cents, what is the holding cost percentage?
A) 3.1% B) 1.81% C) 31% D) 18.1%