Question

The journal entry to record the allocation of factory overhead to work in process is: Multiple choice question. debit Work in Process Inventory and credit Factory Overhead debit Work in Process Inventory and credit Cash debit Factory Overhead and credit Work in Process Inventory debit Cash and credit Factory Overhead

Answer 1

A Debit to Work in Process Inventory and Credit to Factory Overhead will be recorded on journal entry for allocation of factory overhead.

What is factory overhead?

In accounting, a factory overhead refers to total cost involved in operating a manufacturing business and that cannot be traced directly to a product

Hence, Debit to Work in Process Inventory and Credit to Factory Overhead will be recorded on journal entry for allocation of factory overhead.

Therefore, the Option A is correct.

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