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Cornerstones of Cost Accounting 1st Edition by Don Hansen,Maryanne Mowen
النسخة 1الرقم المعياري الدولي: 978-0538736787Cornerstones of Cost Accounting 1st Edition by Don Hansen,Maryanne Mowen
النسخة 1الرقم المعياري الدولي: 978-0538736787 تمرين 21
OVERHEAD VARIANCES AND THEIR DISPOSAL
Milsap Company has the following data for the past year:
Milsap uses the overhead control account to accumulate both actual and applied overhead.
Required:
1. Calculate the overhead variance for the year and close it to Cost of Goods Sold.
2. Assume the variance calculated is material. After prorating, close the variances to the appropriate accounts and provide the final ending balances of these accounts.
3. What if the variance is of the opposite sign calculated in Requirement 1? Provide the appropriate adjusting journal entries for Requirements 1 and 2.
Milsap Company has the following data for the past year:
Milsap uses the overhead control account to accumulate both actual and applied overhead.
Required:
1. Calculate the overhead variance for the year and close it to Cost of Goods Sold.
2. Assume the variance calculated is material. After prorating, close the variances to the appropriate accounts and provide the final ending balances of these accounts.
3. What if the variance is of the opposite sign calculated in Requirement 1? Provide the appropriate adjusting journal entries for Requirements 1 and 2.
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We are given the actual and applied over...
Cornerstones of Cost Accounting 1st Edition by Don Hansen,Maryanne Mowen
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