The journal entry to record undamaged direct materials returned to the storeroom would be:

Question

Quizplus · Accepted Answer

The journal entry to record undamaged direct materials returned to the storeroom would be to debit Materials and credit Work in Process. This is because the materials were initially issued for use in production, but were not actually used and are now being returned to inventory. Therefore, the cost of the materials should be credited back to the Work in Process account.

The Journal Entry to Record Undamaged Direct Materials Returned to the Storeroom