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

question 72

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 unadjusted cost of goods sold (in other words, cost of goods sold before adjusting for any underapplied or overapplied overhead) for May is closest to:

• A)$140, 000
• B)$143, 000
• C)$145, 000
• D)$147, 000

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