Esposito, Inc. uses a just-in-time costing system. During the month, Esposito incurred $700,000 as direct labor and $8000 as overhead. Wages were not paid. Which of the following is the correct journal entry to record the conversion costs?

Select one:

A.

Conversion Costs	708,000
Wages Payable		708,000

B.

Manufacturing Overhead	708,000
Conversion Costs		708,000

C.

Conversion Costs	708,000
Wages Payable, Accumulated Depreciation, etc.		708,000

D.

Conversion Costs	708,000
Accounts Payable		708,000