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Paltrow Corporation Applies Unit-Related Overhead at the Rate of $100

Question 42

Multiple Choice

Paltrow Corporation applies unit-related overhead at the rate of $100 per direct-labor hour.If 3,000 direct labor hours were used,which of the following entries should be made?


A) debit to finished goods and credit to manufacturing overhead
B) debit to manufacturing overhead and credit to finished goods
C) debit to work-in-process and credit to manufacturing overhead
D) debit to manufacturing overhead and credit to work-in-process

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