Baniaga Inc

Baniaga Inc.uses a job-order costing system in which any underapplied or overapplied overhead is closed out to cost of goods sold at the end of the month.The company's cost of goods manufactured for May was $187,000;its beginning finished goods inventory was $53,000;its ending finished goods inventory was $47,000;its manufacturing overhead was underapplied by $3,000.The cost of goods sold that appears on the income statement for May and that has been adjusted for any underapplied or overapplied overhead is closest to:

A) $181,000
B) $196,000
C) $187,000
D) $190,000