Question

When direct labor employees contribute to the production process, the cost of their labor is recorded by debiting: O Wages Expense. Direct Labor. Work in Process Inventory. Manufacturing Overhead

Answer 1

Answer:

The correct answer is letter "C": Work in Process Inventory.

Explanation:

Work in Process Inventory is an asset in the company's Balance Sheet. It represents the accumulated cost of unfinished goods that are currently in the manufacturing process. Companies that manufacture large or customer-made items typically use a work in progress inventory system to record labor, raw material, and overhead.