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If the factory labor cost for a month was $123,000 (paid in cash),the following journal entry would be recorded by the process cost accounting system:
Contract
A legally binding agreement between two or more parties that outlines duties, rights, and obligations.
Money
A medium of exchange that is authorized or adopted by a government as part of its currency.
Futures Contract
A binding contract that stipulates the buying or selling of a certain financial instrument or commodity at a price fixed in advance, with the transaction to be executed at a predetermined future time.
Forward Contract
A personalized deal between two parties to exchange an asset at a set price on an agreed future date.
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