Musings, Inc completed the production of 500 units with standard costs of $520 for direct materials and $75 for conversion costs

During the current year, it incurred $260,000 for direct materials and $31,000 for conversion costs. Record the adjusting entry for the amount of underallocated or overallocated conversion costs.
What will be an ideal response


Conversion Costs 6,500
Cost of Goods Sold
[$31,000 - ($75 x 500 units)] 6,500

Business

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