Buth Incuses a Job-Order Costing System in Which Any Underapplied or or Overapplied

question 59

Multiple Choice

Buth Inc.uses a job-order costing system in which any underapplied or overapplied overhead is closed out to cost of goods sold at the end of the month.During May, the cost of goods manufactured was $145, 000 and manufacturing overhead was overapplied by $3, 000.The beginning finished goods inventory was $47, 000 and the ending finished goods inventory was $49, 000. The cost of goods sold that appears on the income statement for May and that has been adjusted for any underapplied or overapplied overhead is closest to:

• A)$145, 000
• B)$140, 000
• C)$147, 000
• D)$146, 000

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Definitions:

Split-phase

A type of electrical power supply system that divides the electric power into two or more alternating current (AC) voltages.

Stepping Motor

A motor designed to move in discrete steps, enabling precise control over its motion and position.

Output Shaft

The shaft on a machine or engine that transfers power to the driven components.

Input Pulse

A transient electrical signal or voltage of short duration that is used in digital circuits and signal processing.