Phoenix Corporation The records of Phoenix Corporation revealed the following data for the current year.

Work in Process $ 73,150

Finished Goods 115,000

Cost of Goods Sold 133,650

Direct Labor 111,600

Direct Material 84,200

Refer to Phoenix Corporation.Assume that Phoenix has overapplied overhead of $25,000 and that this amount is material.What is the balance in Cost of Goods Sold after the overapplied overhead is closed?

Question

Phoenix Corporation The records of Phoenix Corporation revealed the following data for the current year.

Work in Process	$ 73,150
Finished Goods	115,000
Cost of Goods Sold	133,650
Direct Labor	111,600
Direct Material	84,200

Refer to Phoenix Corporation.Assume that Phoenix has overapplied overhead of $25,000 and that this amount is material.What is the balance in Cost of Goods Sold after the overapplied overhead is closed?

Quizplus · Accepted Answer

The overapplied overhead is closed to Cost of Goods Sold, which reduces the balance in Cost of Goods Sold by $25,000. Therefore, the balance in Cost of Goods Sold after the overapplied overhead is closed is $133,650 - $25,000 = $108,650.

Phoenix Corporation the Records of Phoenix Corporation Revealed the Following Data for Data