In a job-order costing system, the journal entry to record the application of overhead cost to jobs includes which of the following?
A)A credit to the manufacturing overhead account.
B)A credit to the Work-in-Process inventory account.
C)A debit to Cost of Goods Sold.
D)A debit to the Manufacturing-Overhead account.
E)A credit to the raw-materials account

Question

Quizplus · Accepted Answer

In a job-order costing system, applying overhead to jobs involves crediting the Manufacturing Overhead account to reduce it and debiting the Work-in-Process inventory account to allocate the overhead costs to jobs.

In a Job-Order Costing System, the Journal Entry to Record