At the Beginning of the Year,Tea Tree Manufacturing Had the Following

question 46

Multiple Choice

At the beginning of the year,Tea Tree Manufacturing had the following account balances:
The following additional details are provided for the year:
$$\begin{array} { | l | l | } \hline \text { Direct materials placed in production } & \$ 81,100 \\\hline \text { Direct labor incurred } & 191,400 \\\hline \text { Manufacturing overhead incurred } & 301,800 \\\hline \text { Manufacturing overhead allocated to } & \\\text { production } & 295,000 \\\hline \text { Cost of jobs completed and transferred } & 501,500 \\\hline\end{array}$$ The unadjusted balance in the Manufacturing Overhead account is a ________.

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Definitions:

Pareto Principle

The principle that states a small percentage of causes (roughly 20%) often lead to a large percentage of effects (approximately 80%).

ABC Analysis

A method of classifying inventory items into categories based on their importance, such as value or turnover rate, to optimize inventory management.

Inventory Savings

Reductions in the cost associated with holding and managing inventory, typically achieved through more efficient inventory management practices.

Tightly Controlled

Refers to systems or processes that are strictly regulated or managed to ensure desired outcomes.