Question

Which of the following is the correct journal entry to record manufacturing overhead incurred? Finished Goods Inventory xx Manufacturing Overhead Control xx Manufacturing Overhead Control xx Work in Process Inventory xx Manufacturing Overhead Control xx Cash or other Payables xx Work in Process Inventory xx Manufacturing Overhead Control xx

Answer 1

Answer:

Work in Process Inventory xx Manufacturing Overhead Control xx

Explanation:

Based on the information given WORK IN PROCESS INVENTORY in which overhead are applied are DEBITED and MANUFACTURING OVERHEAD are CREDITED while The actual manufacturing overhead as well as the overhead applied are adjusted at year end.

Therefore the correct journal entry to record manufacturing overhead incurred will be:

Dr Work in Process Inventory xx

Cr Manufacturing Overhead Control xx

(To record manufacturing overhead incurred)

will