Question

Prepare the adjusting entry for each company at December 31, assuming the adjustment is made to cost of goods sold.


At December 31, balances in Manufacturing Overhead are Shimeca Company--debit $1,850. Garcia Company-credit $1,043. 


Prepare the adjusting entry for each company at December 31, assuming the adjustment is made to cost of goods sold. 

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Answer #1
Date Account Titles and Explanation Debit Credit
Shimeca company
Dec 31 cost of goods sold $1850
Manufacturing overhead $1850
Garcia company
Dec 31 cost of goods sold $1043
Manufacturing overhead $1043
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