In a job costing system the accounting entry to record the payment of factory wages for the month is:
A) debit cost of goods sold; credit bank
B) debit work in process; credit overhead control account
C) debit factory wages; credit work in process
D) debit work in process; credit wages payable

Question

Quizplus · Accepted Answer

The correct accounting entry to record the payment of factory wages in a job costing system is to debit the Work in Process account, as this reflects the direct labor costs being added to the production process, and credit Wages Payable, which represents the liability to pay the wages. This entry accurately captures the increase in production costs due to labor and the corresponding liability to pay that labor.

In a Job Costing System the Accounting Entry to Record