Use the following information for the next 2 questions.
Thurston Corp. uses a standard job cost system with the following standards: Thurston actually used 2,000 pounds of direct material that cost $10,000 and 500 direct labor hours that cost $7,500.
-The entry to record the usage of direct labor would include a
A) Credit to Direct labor efficiency variance for $77.50
B) Debit to Work in process inventory for $7,500
C) Credit to Accrued payroll for $7,827.50
D) Debit to Direct labor price variance for $250

Question

Use the following information for the next 2 questions.
Thurston Corp. uses a standard job cost system with the following standards:  Thurston actually used 2,000 pounds of direct material that cost $10,000 and 500 direct labor hours that cost $7,500.
-The entry to record the usage of direct labor would include a
A) Credit to Direct labor efficiency variance for $77.50 
B) Debit to Work in process inventory for $7,500 
C) Credit to Accrued payroll for $7,827.50 
D) Debit to Direct labor price variance for $250

Quizplus · Accepted Answer

The Answer of Use the following information for the next 2 questions.
Thurston Corp. uses a standard job cost system with the following standards:  Thurston actually used 2,000 pounds of direct material that cost $10,000 and 500 direct labor hours that cost $7,500.
-The entry to record the usage of direct labor would include a
A) Credit to Direct labor efficiency variance for $77.50 
B) Debit to Work in process inventory for $7,500 
C) Credit to Accrued payroll for $7,827.50 
D) Debit to Direct labor price variance for $250

Use the Following Information for the Next 2 Questions