The Balances in Dellco Company's Accounts at the End of the Period

question 73

Multiple Choice

The balances in Dellco Company's accounts at the end of the period were: $\begin{array}{lr}\text { Work in Frocess Inventory } & \$ 40,000 \\\text { Finished Goods Inventory } & 60,000 \\\text { Cost of Goods Sold } & 300,000 \\\text { Manufacturing Overhead (credit balance) } & 12,000\end{array}$ If the balance in the Manufacturing Overhead account is considered immaterial, which of the following represents the amounts that should be adjusted to the Work in Process Inventory account?

• A) $0
• B) Debit of $12,000
• C) Credit of $12,000
• D) Credit of $9,000

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Definitions:

Lower Inventories

A strategy aiming to reduce the quantity of goods or materials a company holds in stock to minimize holding costs and increase efficiency.

More Warehouses

The strategy of increasing storage space to manage inventory more effectively, improve distribution speed, and meet customer demand.

Protein Feed

A type of animal feed that is high in protein content, used to nourish livestock and improve their growth, development, and productivity.

Sacks of Feed

Bags or containers used to hold and transport animal feed or grains.