McMann Company makes lawn care equipment. It applies overhead at the rate of 125% of direct labor costs. During the year, direct labor costs were $140,000. The actual overhead was $177,000. Make the appropriate general journal entry dated December 31, 20--, to adjust the factory overhead account balance (under- or overapplied) for the year.

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The Answer of McMann Company makes lawn care equipment. It applies overhead at the rate of 125% of direct labor costs. During the year, direct labor costs were $140,000. The actual overhead was $177,000. Make the appropriate general journal entry dated December 31, 20--, to adjust the factory overhead account balance (under- or overapplied) for the year.

McMann Company Makes Lawn Care Equipment