Manufacturing Overhead Has an Underallocated Balance of $6,200; Raw Materials

question 109

Multiple Choice

Manufacturing overhead has an underallocated balance of $6,200; raw materials inventory balance is $50,000; work in process inventory is $30,000; finished goods inventory is $20,000; and cost of goods sold is $100,000. Using this information, which account would have an opening credit balance?

• A)Raw Materials Inventory account
• B)Finished Goods Inventory account
• C)Work-in-Process Inventory account
• D)None of the above