The Work in Process account in a job order cost accounting system will be debited for:
A)Only direct labor and direct materials.
B)Direct labor,direct materials,and applied overhead.
C)Direct labor,direct materials,and actual overhead.
D)Only direct materials and applied overhead.

Question

Quizplus · Accepted Answer

Work in Process account will be debited for direct labor, direct materials, and applied overhead in a job order cost accounting system. This is because these are the costs incurred to produce a specific job or product. Actual overhead may not be known until the end of the accounting period, so it is not yet included in the Work in Process account.

The Work in Process Account in a Job Order Cost