The journal entry to issue $630 of direct materials and $150 of indirect materials involves a debit to

Question

Quizplus · Accepted Answer

Direct materials are recorded as a debit to the Work-in-Process Inventory account, while indirect materials are recorded as a debit to the Manufacturing Overhead account. Therefore, the journal entry to record both direct and indirect materials would be a debit to Work-in-Process Inventory for $630 and a debit to Manufacturing Overhead for $150, resulting in a total debit of $780. This matches with choice D.

The Journal Entry to Issue $630 of Direct Materials and $150