The Balance in White Company's Work in Process Inventory Account

Multiple Choice

The balance in White Company's Work in Process inventory account was $15,000 on August 1 and $18,000 on August 31. The company incurred $30,000 in direct labor cost during August and requisitioned $25,000 in raw materials (all direct material) . If the sum of the debits to the Manufacturing Overhead account total $28,000 for the month, and if the sum of the credits totaled $30,000, then:

A) Finished Goods was debited for $82,000 during the month.
B) Finished Goods was credited for $83,000 during the month.
C) Manufacturing Overhead was underapplied by $2,000 at the end of the month.
D) Finished Goods was debited for $85,000 during the month.