HLY Corporation's accounting information system showed the following balances at the end of this period:
Work in process $20,000
Finished goods 30,000
Cost of goods sold 50,000
Overapplied overhead this period totalled $60,000; HLY maintains a single overhead account in its general ledger.
If the overapplied overhead is considered material, prepare the journal entry to record its disposition. If no journal entry is required, explain why.

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The Answer of HLY Corporation's accounting information system showed the following balances at the end of this period:
Work in process $20,000
Finished goods 30,000
Cost of goods sold 50,000
Overapplied overhead this period totalled $60,000; HLY maintains a single overhead account in its general ledger.
If the overapplied overhead is considered material, prepare the journal entry to record its disposition. If no journal entry is required, explain why.

HLY Corporation's Accounting Information System Showed the Following Balances at the End