Sanker Inc

question 37

Multiple Choice

Sanker Inc. has provided the following data for the month of August. There were no beginning inventories; consequently, the direct materials, direct labor, and manufacturing overhead applied listed below are all for the current month. Manufacturing overhead for the month was overapplied by $5,000.
The company allocates any underapplied or overapplied overhead among work in process, finished goods, and cost of goods sold at the end of the month on the basis of the overhead applied during the month in those accounts.
-The journal entry to record the allocation of any underapplied or overapplied overhead for August would include the following:

• A) debit to Finished Goods of $34,880
• B) debit to Finished Goods of $1,250
• C) credit to Finished Goods of $34,880
• D) credit to Finished Goods of $1,250

Prepare and interpret journal entries related to share transactions and dividends.

Understand the calculation and significance of share dividends, including bonus issues and cash dividends.

Analyze the impact of treasury shares on shareholders' equity.

Calculate retained earnings and understand its role in shareholder equity.

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Definitions:

Student Income

The amount of money earned or received by students from employment, grants, stipends, or other sources while pursuing their studies.

Demand RISE

An increase in the quantity of a product or service that consumers are willing and able to purchase at a given price.

Demand Curve

A graphical representation showing the relationship between the price of a good and the quantity of that good consumers are willing to purchase at various prices.

Supply Curve

A graphical representation showing the relationship between the price of a good or service and the quantity supplied at those prices in a market.