Using the following information: Cost of Goods Sold for the year $ 840,000 Ending Finished Goods $ 100,000 Ending Work in Process $ 60,000 Overapplied manufacturing overhead $ 40,000 Assuming overapplied overhead is considered material, using the preferred method, what would be the adjustment to Cost of Goods Sold to close the overapplied overhead?

Question 8 options:

1)	A debit of $ 33,600.

2)	A credit of $ 33,600.

3)	A debit of $ 40,000.

4)	A credit of $ 40,000.