When Using a Standard Costing System,which of the Following Should

question 31

Multiple Choice

When using a standard costing system,which of the following should be recorded when direct materials are transferred to the production floor?

• A)Debit raw materials inventory for the actual amount at the standard price and credit work in process for the actual amount at the standard price.
• B)Debit raw materials inventory for the standard amount at the standard price and credit work in process for the actual amount at the actual price with a debit or credit to direct material quantity variance.
• C)Credit raw materials inventory for the standard amount at the standard price and debit work in process for the standard amount at the actual price with a debit or credit to direct material quantity variance.
• D)Credit raw materials inventory for the actual amount at the standard price and debit work in process for the standard amount at the standard price with a debit or credit to direct material quantity variance.