The Purchase of Raw Materials on Account in a Process

question 39

Multiple Choice

The purchase of raw materials on account in a process costing system is recorded with a:

• A) Debit to Purchases and credit to Cash.
• B) Debit to Purchases and a credit to Accounts Payable.
• C) Debit to Raw Materials Inventory and a credit to Accounts Payable.
• D) Debit to Accounts Payable and a credit to Raw Materials Inventory.
• E) Debit to Goods in Process Inventory and a credit to Accounts Payable.

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