During September at Renfro Corporation, $65,000 of raw materials were requisitioned from the storeroom for use in production. These raw materials included both direct and indirect materials. The indirect materials totaled $4,000. The journal entry to record this requisition would include a debit to Manufacturing Overhead of:
A) $65,000
B) $4,000
C) $0
D) $61,000

Question

Quizplus · Accepted Answer

Manufacturing Overhead is used to record indirect materials, and the total cost of indirect materials is $4,000. Therefore, the journal entry will include a debit to Manufacturing Overhead for $4,000. The direct materials will be recorded as a debit to the Work in Process Inventory account. So, the answer is B.

During September at Renfro Corporation, $65,000 of Raw Materials Were