Which of the Following Journal Entries Records the Accrual of the Cost

question 106

Multiple Choice

Which of the following journal entries records the accrual of the cost of indirect labor used in production?

• A)debit Work in Process Inventory,credit Wages Payable
• B)debit Work in Process Inventory,credit Manufacturing Overhead
• C)debit Manufacturing Overhead,credit Work in Process Inventory
• D)debit Manufacturing Overhead,credit Wages Payable

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Definitions:

Past Consideration

In contract law, refers to an act or event that has already taken place before the promise is made, and thus is not valid consideration for a contract.

Subcontracts

Agreements made between a party in an existing contract and a third party to fulfill some or all of the original contract's obligations.

Bids

Offers made by individuals or entities to buy goods, services, or assets at a specified price.

Legal Principles

Fundamental concepts that form the basis of the law, guiding the legal system in decision-making.