Work in Process is a control account supported by detailed cost data contained in:
A) job cost sheets.
B) the Manufacturing Overhead account.
C) the Finished Goods inventory account.
D) purchase requisitions.

Question

Quizplus · Accepted Answer

Work in Process (WIP) is a control account that is used to record the costs of partially completed jobs. The detailed cost data for each job is kept on a job cost sheet, which includes information such as direct materials, direct labor, and manufacturing overhead costs incurred for each job. Therefore, job cost sheets support the WIP control account. Option B is incorrect because the Manufacturing Overhead account is a subsidiary account of the WIP account, and it is not used to support the WIP account. Option C is incorrect because the Finished Goods inventory account is used to record the costs of completed or finished goods, not partially completed jobs. Option D is incorrect because purchase requisitions are used to request the purchase of materials or supplies, and they are not used to support the WIP account.

Work in Process Is a Control Account Supported by Detailed