Musings,Inc.completed the production of 500 units with standard costs of $520 for direct materials and $75 for conversion costs.During the current year,it incurred $260,000 for direct materials and $31,000 for conversion costs.Record the adjusting entry for the amount of underallocated or overallocated conversion costs.

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The Answer of Musings,Inc.completed the production of 500 units with standard costs of $520 for direct materials and $75 for conversion costs.During the current year,it incurred $260,000 for direct materials and $31,000 for conversion costs.Record the adjusting entry for the amount of underallocated or overallocated conversion costs.