Pazgal Ops Company applies manufacturing overhead. At the end of the year, the following data were available: Actual manufacturing overhead Estimated manufacturing overhead Applied manufacturing overhead O DR Manufacturing Overhead $7.000 CR Cost of Goods Sold What is the journal entry to dispose of the under-/over-allocated overhead if the difference in actual and applied overhead is considered relatively small? O DR Cost of Goods Sold $115,000 O DR Cost of Goods Sold $120,000 $3,000 CR Manufacturing Overhead $3,000 O DR Manufacturing Overhead $5,000 CR Cost of Goods Sold $118,000 O DR Manufacturing Overhead $3,000 CR Cost of Goods Sold $2,000 CR Manufacturing Overhead $2,000 $7,000 $5,000 $3,000
Pazgal Ops Company applies manufacturing overhead. At the end of the year, the following data were available: Actual manufacturing overhead Estimated manufacturing overhead Applied manufacturing overhead O DR Manufacturing Overhead $7.000 CR Cost of Goods Sold What is the journal entry to dispose of the under-/over-allocated overhead if the difference in actual and applied overhead is considered relatively small? O DR Cost of Goods Sold $115,000 O DR Cost of Goods Sold $120,000 $3,000 CR Manufacturing Overhead $3,000 O DR Manufacturing Overhead $5,000 CR Cost of Goods Sold $118,000 O DR Manufacturing Overhead $3,000 CR Cost of Goods Sold $2,000 CR Manufacturing Overhead $2,000 $7,000 $5,000 $3,000
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:Pazgal Ops Company applies manufacturing overhead. At the end of the year, the following data
were available:
Actual manufacturing overhead
Estimated manufacturing overhead
Applied manufacturing overhead
O DR Manufacturing Overhead $7,000
CR Cost of Goods Sold
What is the journal entry to dispose of the under-/over-allocated overhead if the difference in actual
and applied overhead is considered relatively small?
O DR Cost of Goods Sold
O DR Cost of Goods Sold
$115,000
$120,000
$3,000
CR Manufacturing Overhead $3,000
O DR Manufacturing Overhead $5,000
CR Cost of Goods Sold
$118,000
O DR Manufacturing Overhead $3,000
CR Cost of Goods Sold
$2,000
CR Manufacturing Overhead $2,000
$7,000
$5,000
$3,000
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