Dazzle, Inc A) Debit Work in Process Inventory $160,000; Credit Raw Materials

Dazzle, Inc. produces beads for jewelry making use. The following information summarizes production operations for June. The journal entry to record June production activities for direct labor usage is: $\begin{array} { | l | r | } \hline \text { Direct materials used } & \$ 87,000 \\\hline \text { Direct labor used } & 160,000 \\\hline \text { Predetermined overhead rate (based on direct labor) } & 155 \% \\\hline \text { Goods transferred to finished goods } & 432,000 \\\hline \text { Cost of goods sold } & 444,000 \\\hline \text { Credit sales } & 810,000 \\\hline\end{array}$

A) Debit Work in Process Inventory $160,000; credit Raw Materials Inventory $160,000.
B) Debit Cost of Goods Sold $160,000; credit Factory Payroll Payable $160,000.
C) Debit Work in Process Inventory $160,000; credit Factory Payroll Payable $160,000.
D) Debit Work in Process Inventory $160,000; credit Cash $160,000.
E) Debit Factory Payroll Payable $160,000; credit Cash $160,000.