In process costing,which of the following is recorded by debiting the Manufacturing Overhead account?
A) transfer of units from one process to the next
B) direct labor costs incurred
C) depreciation on factory machinery
D) office electricity charges

Question

Quizplus · Accepted Answer

Manufacturing Overhead comprises all costs of production except for direct materials and direct labor. Depreciation on factory machinery is a cost of production and is recorded by debiting Manufacturing Overhead. Therefore, C is the correct answer. A is incorrect because the transfer of units is recorded by debiting the next process's Work in Process account. B is incorrect because direct labor costs are recorded by debiting the Direct Labor account. D is incorrect because office electricity charges are not a cost of production and are therefore not recorded in the Manufacturing Overhead account.

In Process Costing,which of the Following Is Recorded by Debiting