Question

Manufacturing Overhead Control

A. represents actual overhead costs incurred.

B. has a normal debit balance.

C. is a control account with a subsidiary ledger detailing the components of manufacturing overhead.

D. All of the above

Answer 1

The Manufacturing Overhead Control represents actual overhead costs and has a normal debit balance. It is also a control account with a subsidiary ledger. Therefore, the answer is option D: All of the above.

Step-by-step explanation:

A. Manufacturing Overhead Control represents actual overhead costs incurred. This account is used to accumulate all the overhead costs incurred during the manufacturing process.

B. Manufacturing Overhead Control has a normal debit balance. In accounting, debit balances are typical for asset and expense accounts, and since manufacturing overhead represents costs, it has a normal debit balance.

C. Manufacturing Overhead Control is a control account with a subsidiary ledger detailing the components of manufacturing overhead. The control account summarizes the total manufacturing overhead, while the subsidiary ledger provides a detailed breakdown of the individual components or accounts that make up the total overhead costs.