At the End of 2017, Harbin Toys Had the Following

question 80

Multiple Choice

At the end of 2017, Harbin Toys had the following balances in its accounts $\begin{array}{lr}\text { Raw Materials Inventory } & \$ 12,000 \\\text { Work in Process Inventory } & 30,000 \\\text { Finished Goods Inventory } & 48,000 \\\text { Cost of Goods Sold } & 360,000 \\\text { Manufacturing Overhead (credit) } & 3,200\end{array}$ Assuming the amount in Manufacturing Overhead is considered immaterial, which of the following accounts will be credited for $3,200 in eliminating the balance in the Manufacturing Overhead account?

• A)Raw Materials Inventory
• B)Work in Process Inventory
• C)Manufacturing Overhead
• D)Cost of Goods Sold

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Definitions:

Critical Thinking

The objective analysis and evaluation of an issue in order to form a judgment.

Principle of Falsifiability

A criterion for scientific inquiry, asserting that for a hypothesis to be considered scientific, it must be inherently disprovable.

Counterevidence

Information or data that contradicts or disproves a claim, theory, or hypothesis.

Theories

Systematic sets of ideas or principles that explain phenomena and are supported by evidence.