Which of the following is recorded by debiting the Manufacturing Overhead account?
A)transfer of units from one process to the next
B)direct labor costs incurred
C)depreciation on factory machinery
D)office electricity charges

Question

Quizplus · Accepted Answer

Manufacturing overhead includes various indirect costs incurred in the production process, such as depreciation on factory machinery, rent, utilities, etc. Therefore, option C - depreciation on factory machinery - is recorded by debiting the Manufacturing Overhead account. Option A - transfer of units from one process to the next - is recorded by debiting Work in Process account. Option B - direct labor costs incurred - is recorded by debiting Direct Labor account, and option D - office electricity charges - is recorded by debiting an appropriate expense account (e.g. Utilities Expense).

Which of the Following Is Recorded by Debiting the Manufacturing