Manufacturing overhead applied to Work in Process

$$79,000$

The company's Cost of Goods Sold was $$243,000$ prior to closing out its Manufacturing Overhead account. The company closes out its Manufacturing Overh

account to Cost of Goods Sold. Which of the following statements is true?

Multiple Choice

Manufacturing overhead was underapplied by $$10,000$; Cost of Goods Sold after closing out the Manufacturing Overhead account is $$233,000$

Manufacturing overhead was overapplied by $$10,000$; Cost of Goods Sold after closing out the Manufacturing Overhead account is $$233,000$

Manufacturing overhead was overapplied by $$10,000$; Cost of Goods Sold after closing out the Manufacturing Overhead account is $$253,000$