Results of operations for the Anderson Corporation indicated that the actual direct labor rate for May was $9.75 while the standard rate was $10.00. The general ledger entry to record the incurrence of direct labor cost would include:
A)a debit to Work In Process for the actual number of hours times $9.75 per hour.
B)a debit to Work In Process for the standard number of hours times $10.00 per hour.
C)a debit to Work In Process for the standard number of hours times $9.75 per hour.
D)a debit to Work In Process for the actual number of hours times $10.00 per hour.

Question

Quizplus · Accepted Answer

The Work In Process account is debited for the standard cost, which is the standard number of hours times the standard rate of $10.00 per hour.

Results of Operations for the Anderson Corporation Indicated That the Actual