During the month,Barrera Manufacturing incurred (not paid)$45,000 in direct labor costs in Department 1,$22,000 direct labor costs in Department 2,and $3500 of indirect labor costs.Which of the following is NOT part of the summary journal entry to record these transactions? Process costing is used.
A) debit to Manufacturing Overhead for $3500
B) debit to Work-in-Process Inventory for $70,500
C) credit to Wages Payable for $70,500
D) debit to Work-in-Process Inventory-Department 1 for $45,000

Question

Quizplus · Accepted Answer

The correct journal entry would involve debiting Work-in-Process Inventory for each department separately, not a combined amount.

During the Month,Barrera Manufacturing Incurred (Not Paid)$45,000 in Direct Labor