Entry Effect on Cost OfGoods Sold
A $\begin{array}{lrr} \text { Manufacturing Overhead } &5,000& \text {Deduct £ 5,000 }\\ \text { Cost of Goods Sold } &5,000\\\end{array}$

Entry Effect on Cost ofGoods Sold
a.


$\begin{array}{lrr} \text { Manufacturing Overhead } &5,000& \text {Deduct £ 5,000 }\\ \text { Cost of Goods Sold } &5,000\\\end{array}$

b.
$\begin{array}{lrr} \text {Cost of Goods Sold } &5,000& \text {Deduct £ 5,000 }\\ \text {Manufacturing Overhead } &5,000\\\end{array}$



c.
$\begin{array}{lrr} \text {Cost of Goods Sold } &5,000& \text {Add £ 5,000 }\\ \text {Manufacturing Overhead } &5,000\\\end{array}$



d. $\begin{array}{lrr} \text {Cost of Goods Sold } &5,000& \text {Add £ 5,000 }\\ \text {Manufacturing Overhead } &5,000\\\end{array}$



The operations of the Kerry Company resulted in underapplied overhead of £5,000. The entry to close out this balance to Cost of Goods Sold and the effect of the underapplied overhead on Cost of Goods Sold would be:

A) Option A
B) Option B
C) Option C
D) Option D