Melillo Corporation Has Provided Data Concerning the Company's Manufacturing Overhead

question 79

Multiple Choice

Melillo Corporation has provided data concerning the company's Manufacturing Overhead account for the month of October. Prior to the closing of the overapplied or underapplied balance to Cost of Goods Sold, the total of the debits to the Manufacturing Overhead account was $67,000 and the total of the credits to the account was $57,000. Which of the following statements is true?

• A) Manufacturing overhead for the month was overapplied by $10,000.
• B) Actual manufacturing overhead for the month was $67,000.
• C) Manufacturing overhead applied to Work in Process for the month was $67,000.
• D) Manufacturing overhead transferred from Finished Goods to Cost of Goods Sold during the month was $57,000.

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Definitions:

Cash Distribution

The process of distributing or paying out cash from a corporation to its shareholders, often in the form of dividends.

Capital Deficiency

A situation where a company's liabilities exceed its assets, indicating financial distress or bankruptcy risk.

Personal Debt

The total amount of money an individual owes to lenders, including loans, credit card debt, and mortgages.

Cash Distribution

The payment of earnings, or other financial assets, to shareholders or partners in a company or fund.