Question

If manufacturing overhead is overapplied for the period, a method to bring the balance of the manufacturing overhead account to zero would be:

Select one:

Debit cost of goods sold, credit manufacturing overhead

Debit work in process inventory, credit manufacturing overhead

Debit manufacturing overhead, credit raw materials inventory

Debit manufacturing overhead, credit cost of goods sold

Answer 1

If manufacturing overhead is overapplied and to bring the balance of the manufacturing overhead account to zero, the company will close the overapplied manufacturing overhead to cost of goods sold.

No.	Account titles and explanation	Debit	Credit
1.	Manufacturing overhead	XXX
	Cost of goods sold		XXX
	(To record overapplied overhead)

So, the answer is option D) Debit manufacturing overhead, credit cost of goods sold

NOTE:- For any problem regarding the answer please ask in the comment section.