What is the correct journal entry

Assignment Help Accounting Basics
Reference no: EM132075218

Question - Sim's Fabricating Company is a new company that needs to make a decision about the method to use in adjusting cost of goods sold. Because the company used a budgeted indirect-cost rate for its manufacturing operations, the amount that was allocated ($200 000) was different from the actual amount incurred ($225 000).

Ending balances in the relevant accounts were:

Work-in-process $10000

Finished Goods 20000

Cost of Goods Sold 170000

What is the correct journal entry to prorate the write off of the difference between allocated and actual overhead using the pro-rata approach?

Reference no: EM132075218

Questions Cloud

Implementing an innovation strategy : What are the key issues that should be addressed in implementing an innovation strategy?
Calculate the process capability index value : Using a sample of 100 items the average process output is 4.5 with a sample standard deviation of 0.5. The LSL = 2.0 and the USL = 6.0.
Define health insurance portability and accountability act : Defend the laws and standards you applied to your Week 4 Health Insurance Portability and Accountability Act (HIPAA) Violations assignment.
Calculate its book value at the end of year : A machine that cost $540,000 has an estimated residual value of $60,000 and an estimated useful life of six years. Calculate its book value at the end of year 5
What is the correct journal entry : What is the correct journal entry to prorate the write off of the difference between allocated and actual overhead using the pro-rata approach
Adopt a style of leadership : Can we adopt a style of leadership to meet the expectations of the new generations.
Expectations of the new generations : Can we adopt a style of leadership to meet the expectations of the new generations.
How long will the plan take to be implemented : Before beginning to develop your strategic goal, it is important to understand your objectives. In other words, as you choose your Strategic Goal.
Project management fail to work : What type of companies can project management fail to work

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd