The Cherokee Company Uses a Predetermined Overhead Rate $\begin{array} { l }\text { Cost of Goods Sold } & \$ 12,000\\\text { Manufacturing Overhead }&\$12,000\end{array}$

The Cherokee Company uses a predetermined overhead rate. The following accounts have these unadjusted balances:
Raw Materials $20,000
Work in Process $40,000
Finished Goods $10,000
Cost of Goods Sold $50,000
If Manufacturing overhead was $12,000 overapplied and considered immaterial, what is the journal entry? a. $\begin{array} { l }\text { Cost of Goods Sold } & \$ 12,000\\\text { Manufacturing Overhead }&\$12,000\end{array}$

b. $\begin{array} { l }\text { Cost of Goods Sold } & \$ 12,000\\\text { Manufacturing Overhead }&\$12,000\end{array}$

$\text { c. Manufacturing Overhead } \$ 12,000$
Raw Materials $\$ 2,000$
Work in Frocess $\$ 4,000$
Finished Goods $\$ 1,000$
Cost of Goods Sold $\$ 5,000$

d. Raw Materials $\$ 2,000$
Work in Frocess $\$ 4,000$
Finished Goods $\$ 1,000$
Cost of Goods Sold $\$ 5,000$
Manufacturing Overhead $\$ 12,000$

e. Manufacturing Overhead $\$ 12,000$
Work in Process $\$ 4,800$
Finished Goods $\$ 1,200$
Cost of Goods Sold $\$ 6,000$