Castagnola Incorporated Has Provided the Following Data for the Month

question 311

Multiple Choice

Castagnola Incorporated has provided the following data for the month of January. There were no beginning inventories; consequently, the direct materials, direct labor, and manufacturing overhead applied listed below are all for the current month. Manufacturing overhead for the month was overapplied by $1,000.The company allocates any underapplied or overapplied manufacturing overhead among work in process, finished goods, and cost of goods sold at the end of the month on the basis of the overhead applied during the month in those accounts.The journal entry to record the allocation of any underapplied or overapplied manufacturing overhead for January would include the following:

• A) credit to Cost of Goods Sold of $760
• B) debit to Cost of Goods Sold of $128,180
• C) credit to Cost of Goods Sold of $128,180
• D) debit to Cost of Goods Sold of $760

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Definitions:

Achievement Needs

Occur in people who are goal oriented and take personal responsibility for achievements.

Manifest Needs Theory

A psychological theory that suggests individual behavior is driven by specific and identifiable needs.

Accomplishment

The act of achieving a goal or completing a task successfully.

High Self-Esteem

A positive view one holds about oneself, reflecting confidence and satisfaction in one's abilities and worth.