Which one of the following should be equal to the total of the Work in Process Inventory account at the end of the period?
A)The total of the amounts transferred from raw materials for the current period
B)The sum of the costs shown on the job cost sheets of unfinished jobs
C)The total of manufacturing overhead applied to work in process for the period
D)The total manufacturing costs for the period

Question

Quizplus · Accepted Answer

Work in process inventory represents the cost of unfinished jobs or products in the production process. Therefore, the total of the costs shown on the job cost sheets of unfinished jobs should be equal to the total of the Work in Process Inventory account at the end of the period. The other options are not necessarily equal to the Work in Process Inventory account. For example, option A only includes the transferred costs from raw materials and does not take into account the direct labor and overhead costs required to complete the production process. Option C and D both include overhead and other manufacturing costs that are not directly related to the Work in Process Inventory account.

Which One of the Following Should Be Equal to the Total