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Injection Molding Services uses a job-order costing system. The account balances at the end of the period for the product cost-related accounts are as follows.
Raw Materials Inventory$..................................... 300,000
Work in Process Inventory..................................... 500,000
Finished Goods Inventory..................................... 600,000
Cost of Goods Sold............................................... 900,000
Manufacturing Overhead (credit) ......................... 90,000
Required
Prepare a journal entry to close the manufacturing overhead account assuming that the amount
($90,000) is material.
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