When a job is complete ________.

Question

Quizplus · Accepted Answer

When a job is complete, the cost of the job is transferred from Work in Process Inventory to Finished Goods Control, which is debited for the total cost of the job including direct materials, direct labor, and manufacturing overhead applied. Actual indirect manufacturing labor is already included in the manufacturing overhead rate applied to the job, so it is not excluded. The cost of the job is not transferred to Manufacturing Overhead Control, and it is not reduced from the Manufacturing Overhead Control account.

When a Job Is Complete ________