At the Beginning of 2015, Conway Manufacturing Had the Following

question 56

Multiple Choice

At the beginning of 2015, Conway Manufacturing had the following account balances: Following additional details are provided for the year:
$$\begin{array} { | l | l | } \hline \text { Direct materials placed in production } & \$ 80,000 \\\hline \text { Direct labor incurred } & 190,000 \\\hline \text { Manufacturing overhead incurred } & 300,000 \\\hline \text { Manufacturing overhead allocated to production } & 295,000 \\\hline \text { Cost of jobs completed and transferred } & 500,000 \\\hline\end{array}$$
-Refer to the tables above,The ending balance in the Work-in-Process Inventory account is a:

• A) credit of $67,000.
• B) debit of $65,000.
• C) credit of $65,000.
• D) debit of $67,000.

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Definitions:

Capitalism

Capitalism is an economic system characterized by private ownership of the means of production, market-based allocation of resources, and the creation of goods and services for profit.

Private Enterprise System

An economic system where private individuals or businesses own capital goods and the production of goods and services is based on supply and demand in the general market.

Intellectual Inputs

Contributions of knowledge, ideas, expertise, and intellectual property to a project, organization, or production process.

Physical Labor

Physical labor refers to work that requires physical effort or manual tasks as opposed to mental work.