Work in process inventory is debited for which of the following when recording the use of direct materials in the production process?

Question

Quizplus · Accepted Answer

Work in process inventory is debited using the standard quantity of direct materials used for actual production output times the standard cost per pound. This is because the standard cost per pound represents the estimated cost of the direct material when it was initially acquired or priced, and is used to value the direct materials used in the production process. By using the standard quantity and cost, the company can better track and control its direct material costs and monitor any variances between the actual and expected costs. Option A would use the actual cost per pound, which could vary from the standard cost, leading to inaccuracies in costing. Option C uses the standard cost but the actual quantity used, which also does not accurately reflect the direct material costs for the production output. Option D uses both actual quantity and cost, which is not consistent with using standard costs for tracking and control purposes.

Work in Process Inventory Is Debited for Which of the Following