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1. Which of the following statements is true ofthe accounting for finished goods when a job is completed?Overhead costs are assigned to Finished Goods using apredetermined rate.Finished Goods is debited when goods are sold.The cost of completed units is credited to Work-in-Process anddebited to Finished Goods.The costs of the completed job are retained in Work-in-Processuntil the proceeds are collectible for the job.2. Slim Technology Inc. records the followingamounts before reconciling the overhead variance.Applied overhead$567,000Actual overhead555,000Normal cost of goods sold701,250Calculate the cost of goods sold for Slim Technology Inc. afteradjusting for any overhead variance.$677,250$12,000$701,250$689,2503. Lithium Metals Inc. recorded sales of$200,000 and cost of goods sold of $160,000 in June 20X1. Itsselling and administrative expenses totaled $12,000. Calculate thenet operating income.$28,000$40,000$52,000$12,0001. A company completed a job on March 31, 20X1.Its cost of goods sold was $1,500. It sold the job on account to acustomer at cost plus 20%. Which of the following is the journalentry to recognize the cost of the job?Debit Overhead Control by $1,500 and Credit Cost of Goods Soldby $1,500Debit Cost of Goods Sold by $1,500 and Credit Finished Goods by$1,500Debit Cost of Goods Sold by $1,800 and Credit Sales Revenue by$1,800Debit Accounts Receivable by $1,800 and Credit Cost of GoodsSold by $1,8002. The Overhead Control of a company has anunderapplied variance of $200. Which of the following is thejournal entry to record the closing of the underappliedoverhead?Debit Overhead Control by $200 and Credit Cost of Goods Sold by$200Debit Cost of Goods Sold by $200 and Credit Overhead Control by$200Debit Budget Control by $200 and Credit Overhead Control by$200Debit Overhead Control by $200 and Credit Budget Control by$200