The journal entry to record direct labor costs actually incurred involves a debit to the ________.

Question

Quizplus · Accepted Answer

Direct labor costs are included in the cost of production and are typically added to Work-in-Process Inventory account. Therefore, the correct choice is A, which indicates "Work-in-Process Inventory account". The Wages Payable account records the amount of wages payable to employees but is not used to record actual labor costs incurred. The Manufacturing Overhead account records indirect costs associated with production, such as rent and utilities. The Raw Materials Inventory account records the cost of raw materials used in production.

The Journal Entry to Record Direct Labor Costs Actually Incurred