Echenko Corporation Uses a Job-Order Costing System and Applies Overhead

Multiple Choice

Echenko Corporation uses a job-order costing system and applies overhead to jobs using a predetermined overhead rate. During the year the company's Finished Goods inventory account was debited for $380,000 and credited for $335,500. The ending balance in the Finished Goods inventory account was $62,300. At the end of the year, manufacturing overhead was overapplied by $2,900.
-The balance in the Finished Goods inventory account at the beginning of the year was:

A) $2,900
B) $62,300
C) $44,500
D) $17,800