At the end of 2010, Jackson Tank Company's accounts showed a $66,000
credit balance in Manufacturing Overhead Control. In addition, the
company had the following account balances: Work in Process Inventory $384,000 Finished Goods Inventory 96,000 Cost of Goods Sold 720,000
a.
Prepare the necessary journal entry to close the overhead account if the
balance is considered immaterial.
b. Prepare the necessary journal entry to close the overhead account if the balance is considered
material.
c. Which method do you believe is more appropriate for the
company and Why???
Click here for the solution: At the end of 2010, Jackson Tank Company's accounts showed a $66,000 credit balance in Manufacturing Overhead Control
