In a Job-Order Costing System, the Amount of Overhead Cost

question 88

Multiple Choice

In a job-order costing system, the amount of overhead cost that has been applied to a job that remains incomplete at the end of a period:

• A) is deducted on the Income Statement as overapplied overhead.
• B) is closed to Cost of Goods Sold.
• C) is transferred to Finished Goods at the end of the period.
• D) is part of the ending balance of the Work in Process inventory account.

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Definitions:

Form 1120

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