The journal entry to record the use of direct labor in Processing Department #1 would include a debit to WIP-Processing Department #1.

Name: The journal entry to record the use of direct labor in Processing Department #1 would include a debit to WIP-Processing Department #1.
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Question

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Direct labor is a component of manufacturing costs and should be recorded in the Work-in-Process (WIP) account. Therefore, a debit is made to WIP-Processing Department #1 when direct labor is used in this department.

The Journal Entry to Record the Use of Direct Labor