Using the following information: Assuming underapplied overhead is considered material,using the preferred method,what would be the adjustment to Cost of Goods Sold to close the underapplied overhead?
A) A debit of $33,600.
B) A credit of $33,600.
C) A debit of $40,000.
D) A credit of $40,000.

Question

Using the following information:  Assuming underapplied overhead is considered material,using the preferred method,what would be the adjustment to Cost of Goods Sold to close the underapplied overhead?
A) A debit of $33,600. 
B) A credit of $33,600. 
C) A debit of $40,000. 
D) A credit of $40,000.

Quizplus · Accepted Answer

The Answer of Using the following information:  Assuming underapplied overhead is considered material,using the preferred method,what would be the adjustment to Cost of Goods Sold to close the underapplied overhead?
A) A debit of $33,600. 
B) A credit of $33,600. 
C) A debit of $40,000. 
D) A credit of $40,000.

Using the Following Information: Assuming Underapplied Overhead Is Considered