Worley Company has overapplied overhead of $60,000 for the year ended December 31, 1982. Before disposition of the overapplied overhead, selected December 31, 1982, balances from Worley's accounting records are as follows:

Sales	$1,200,000
Cost of goods sold	720,000
Inventories:
Direct materials	36,000
Work in process	54,000
Finished goods	90,000

Under Worley's cost accounting system, over-or underapplied overhead is allocated to appropriate inventories and cost of goods sold based on year-end balances. In its 1982 income statement, Worley should report cost of goods sold of

Question 9 options:

A)

$770,000

B)

$757,500

C)

$670,000

D)

$756,000