The journal entry; debit work in process and credit overhead control account records:
A) actual overhead cost
B) use of indirect labour
C) allocated overhead
D) b and c

Question

Quizplus · Accepted Answer

The journal entry that debits work in process and credits overhead control is used to record the allocation of overhead costs to the work in process. This does not directly record actual overhead costs or the use of indirect labor, but rather the allocation of estimated overhead costs to production.

The Journal Entry; Debit Work in Process and Credit Overhead