Data concerning the direct labor costs for March of Boler Corporation appear below: The journal entry to record the incurrence of direct labor costs in March would include the following for Work in Process:
A)credit of $125,139.
B)debit of $114,948.
C)credit of $114,948.
D)debit of $125,139.

Question

Data concerning the direct labor costs for March of Boler Corporation appear below:  The journal entry to record the incurrence of direct labor costs in March would include the following for Work in Process:
A)credit of $125,139. 
B)debit of $114,948. 
C)credit of $114,948. 
D)debit of $125,139.

Quizplus · Accepted Answer

Work in Process is debited for the standard cost of materials in the actual output of the period which is:
3,600 units × 3.1 ounces per unit × $10.30 per ounce = 11,160 ounces × $10.30 per ounce = $114,948.

Data Concerning the Direct Labor Costs for March of Boler