When closing overapplied manufacturing overhead to cost of goods sold, which of the following would be true?
A. Work in process will decrease.
B. Cost of goods sold will increase.
C. Net income will decrease.
D. Gross margin will increase.
Answer: D
When closing overapplied manufacturing overhead to cost of goods sold, which of the following would be true?
A. Work in process will decrease.
B. Cost of goods sold will increase.
C. Net income will decrease.
D. Gross margin will increase.
Answer: D
If the answers is incorrect or not given, you can answer the above question in the comment box. If the answers is incorrect or not given, you can answer the above question in the comment box.