question3 - InCrawfordCompany,thepredetermined

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In Crawford Company, the predetermined  overhead rate is 80% of direct labor cost. During  the month, Crawford incurs $210,000 of factory  labor costs, of which $180,000 is direct labor and  $30,000 is indirect labor. Actual overhead  incurred was $200,000. The amount of overhead  debited to Work in Process Inventory should be: (a)   $200,000. (b)   $144,000. (c)   $168,000. (d)   $160,000. Answer: (b)   $144,000. Mynex Company completes Job No. 26 at a cost of $4,500 and later sells it for $7,000 cash. A correct  entry is: (a)   Debit Finished Goods Inventory $7,000 and credit  Work in Process Inventory $7,000. (b)   Debit Cost of Goods Sold $7,000 and credit  Finished Goods Inventory $7,000. (c)   Debit Finished Goods Inventory $4,500 and credit  Work in Process Inventory $4,500. (d)  
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question3 - InCrawfordCompany,thepredetermined

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