At the Beginning of 2017,Conway Manufacturing Had the Following Account

question 89

Multiple Choice

At the beginning of 2017,Conway Manufacturing had the following account balances:
$$\begin{array} { | l | l | } \hline \begin{array} { l } \text { Work in } \\\text { process } \\\text { inventory }\end{array} & \quad \quad \quad\\\hline 2700 & \\\hline\end{array}$$
$$\begin{array} { | l | l | } \hline \begin{array} { l } \text { Finished } \\\text { goods }\end{array} & \\\text { inventory } & \quad \quad \quad \\\hline 8800 & \\\hline\end{array}$$
$\begin{array}{|l|l|}\hline\begin{array}{l}\text { Manufacturin }&\quad \\\text { g overhead }&\end{array} \\\hline 0&\quad\quad\quad\quad\\\hline\end{array}$

$\begin{array}{|r|r|}\hline\text { Cost of sales } & \\\hline 0 &\quad\quad\quad\quad \\\hline\end{array}$
$\begin{array}{|r|r|}\hline\text { Sales revenue } & \\ \hline &0\quad\quad\quad\quad \\\hline\end{array}$
Following additional details are provided for the year:
$$\begin{array} { | l | l | } \hline \text { Direct materials placed in production } & \$ 84,000 \\\hline \text { Direct labour incurred } & 195,000 \\\hline \text { Manufacturing overhead incurred } & 306,000 \\\hline \text { Manufacturing overhead allocated to } & \\\text { production } & 288,000 \\\hline \text { Cost of jobs completed and transferred } & 508,000 \\\hline\end{array}$$
The unadjusted balance in the Manufacturing overhead account is a:

• A) credit of $18,000.
• B) debit of $26,800.
• C) credit of $288,000.
• D) debit of $18,000.

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Definitions:

Guarantor

A person, organization, or entity that agrees to be responsible for another's debt or obligations if that individual fails to fulfill them.

Infant

A minor; a person under the legal age of majority.

Contract

A legal agreement among two or more parties that is binding and enforceable by the legal system.

Age of Majority

The legally defined age at which an individual is recognized as an adult and is capable of assuming responsibility for their actions in civil and criminal law.