Question
Taylor and Company used a predetermined overhead allocation rate to allocate $180,000 and $150,000 of indirect costs to the Carving Department and the Milling Department,
Taylor and Company used a predetermined overhead allocation rate to allocate
$180,000
and
$150,000
of indirect costs to the Carving Department and the Milling Department, respectively. The journal entry to record the allocation of overhead costs to the Milling Department is Process costing is used.\ A. debit Work - in - Process Inventory Carving,
$180,000
, credit Manufacturing Overhead,
$180,000
\ B. debit Manufacturing Overhead,
$150,000
; credit Work - in - Proces Inventory Milling,
$150,000
\ C. debit Manufacturing Overhead,
$180,000
; credit Work - in - Process Inventory- Carving,
$180,000
\ D. debit Work - in - Process Inventory - Milling, $150,000, credit Manufacturing Overhead,
$150,000
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