O'Hare Company, is a manufacturing firm that uses a job-order cost system to determine the costs of its products. During the current accounting period, O'Hare transferred total product costs for job #132, to finished goods. The recognition of this event would:

Question

Quizplus · Accepted Answer

Transferring costs from work in process to finished goods does not change total assets; it simply reclassifies inventory from one category to another within the asset section.

O'Hare Company, Is a Manufacturing Firm That Uses a Job-Order