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Problem 1: The balance in Subiaco Company's Work in Process inventory account was $20,000 on August 1 and $23,000 on August 31. The company incurred $35,000 in direct labor cost during August and requisitioned $30,000 in raw materials (all direct material). If the sum of the debits to the Manufacturing Overhead account total $28,000 for the month, and if the sum of the credits totaled $25,000, then:
Select one:
a. Finished Goods was debited for $82,000 during the monthb. Finished Goods was debited for $87,000 during the monthc. Finished Goods was credited for $83,000 during the month.d. Manufacturing Overhead was underapplied by $2,000 at the end of the month
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