A manufacturing company has the following balances at the end of its first year's operations: Sales OMR350,000; actual manufacturing overhead OMR150,000; manufacturing overhead applied OMR114,000; unadjusted costs of goods sold OMR175,000. The costs of goods sold balance includes overhead applied of OMR51,300. Ending Work in process inventory includes overhead applied of OMR34,700. Ending finished goods inventory includes overhead applied of OMR28,000. These balances are not adjusted for the overapplied or underapplied factory overhead. The company closes year-end manufacturing overhead balances proportionally to Work in Process, Finished Goods, and Cost of Goods Sold. How much is the gross profit for the year after disposing the year-end overhead balances? Select one: O a. OMR158,800 b. OMR139,0001 a OMR154,300 d. None of the answers given
A manufacturing company has the following balances at the end of its first year's operations: Sales OMR350,000; actual manufacturing overhead OMR150,000; manufacturing overhead applied OMR114,000; unadjusted costs of goods sold OMR175,000. The costs of goods sold balance includes overhead applied of OMR51,300. Ending Work in process inventory includes overhead applied of OMR34,700. Ending finished goods inventory includes overhead applied of OMR28,000. These balances are not adjusted for the overapplied or underapplied factory overhead. The company closes year-end manufacturing overhead balances proportionally to Work in Process, Finished Goods, and Cost of Goods Sold. How much is the gross profit for the year after disposing the year-end overhead balances? Select one: O a. OMR158,800 b. OMR139,0001 a OMR154,300 d. None of the answers given
Principles of Cost Accounting
17th Edition
ISBN:9781305087408
Author:Edward J. Vanderbeck, Maria R. Mitchell
Publisher:Edward J. Vanderbeck, Maria R. Mitchell
Chapter4: Accounting For Factory Overhead
Section: Chapter Questions
Problem 17E: Nelson Fabrication Inc. had a remaining credit balance of $20,000 in its under- and overapplied...
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Question
![A manufacturing company has the following balances
at the end of its first year's operations: Sales
OMR350,000; actual manufacturing overhead
OMR150,000; manufacturing overhead applied
OMR114,000; unadjusted costs of goods sold
OMR175,000. The costs of goods sold balance includes
overhead applied of OMR51,300. Ending Work in
process inventory includes overhead applied of
OMR34,700. Ending finished goods inventory includes
overhead applied of OMR28,000. These balances are
not adjusted for the overapplied or underapplied
factory overhead. The company closes year-end
manufacturing overhead balances proportionally to
Work in Process, Finished Goods, and Cost of Goods
Sold. How much is the gross profit for the year after
disposing the year-end overhead balances?
Select one:
Oa. OMR158,800
b. OMR139,000
o OMR154,300
d. None of the answers given
OMRI91,200](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Feeb403f4-3f85-4169-9d34-15c3d259e47e%2F5afe8fb5-ad38-46f5-a99a-2a578f85b985%2Fw91xkcw_processed.jpeg&w=3840&q=75)
Transcribed Image Text:A manufacturing company has the following balances
at the end of its first year's operations: Sales
OMR350,000; actual manufacturing overhead
OMR150,000; manufacturing overhead applied
OMR114,000; unadjusted costs of goods sold
OMR175,000. The costs of goods sold balance includes
overhead applied of OMR51,300. Ending Work in
process inventory includes overhead applied of
OMR34,700. Ending finished goods inventory includes
overhead applied of OMR28,000. These balances are
not adjusted for the overapplied or underapplied
factory overhead. The company closes year-end
manufacturing overhead balances proportionally to
Work in Process, Finished Goods, and Cost of Goods
Sold. How much is the gross profit for the year after
disposing the year-end overhead balances?
Select one:
Oa. OMR158,800
b. OMR139,000
o OMR154,300
d. None of the answers given
OMRI91,200
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