Davidson Company's manufacturing overhead account showed a $6,200 under-allocated balance on December 31, 2019. Other accounts showed the following balances on December 31, 2019: Materials inventory $50,000 WIP inventory $30,000 Finished goods inventory $20,000 COGS $100,000 Davidson adjusts COGS for the balance in manufacturing overhead. The balance in COGS after closing out the balance in manufacturing overhead is:
Davidson Company's manufacturing overhead account showed a $6,200 under-allocated balance on December 31, 2019. Other accounts showed the following balances on December 31, 2019: Materials inventory $50,000 WIP inventory $30,000 Finished goods inventory $20,000 COGS $100,000 Davidson adjusts COGS for the balance in manufacturing overhead. The balance in COGS after closing out the balance in manufacturing overhead is:
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Davidson Company's manufacturing overhead account
showed a $6,200 under-allocated balance on December
31, 2019. Other accounts showed the following balances on
December 31, 2019:
Materials inventory
$50,000
WIP inventory
$30,000
Finished goods inventory
$20,000
COGS
$100,000
Davidson adjusts COGS for the balance in manufacturing
overhead. The balance in COGS after closing out the
balance in manufacturing overhead is:](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc7a8d264-367b-4cd4-952e-0e91afc993af%2F7904479e-18bb-4f0d-ae9b-c2c00fb2f5d5%2F8zpw8fl_reoriented.jpeg&w=3840&q=75)
Transcribed Image Text:Davidson Company's manufacturing overhead account
showed a $6,200 under-allocated balance on December
31, 2019. Other accounts showed the following balances on
December 31, 2019:
Materials inventory
$50,000
WIP inventory
$30,000
Finished goods inventory
$20,000
COGS
$100,000
Davidson adjusts COGS for the balance in manufacturing
overhead. The balance in COGS after closing out the
balance in manufacturing overhead is:
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