Question
Farrel Corporation is a manufacturer that uses job-order costing. The company has supplied the following data for the just completed year: Direct labor cost $
Farrel Corporation is a manufacturer that uses job-order costing. The company has supplied the following data for the just completed year:
| Direct labor cost | $ | 574,000 |
| Manufacturing overhead: | ||
| Indirect labor cost | $ | 163,000 |
| Other manufacturing overhead costs incurred | $ | 584,000 |
What is the journal entry to record the direct and indirect labor costs incurred during the year?
Multiple Choice
| Wages Payable | 737,000 | |
| Direct Labor | 574,000 | |
| Manufacturing Overhead | 163,000 | |
| Direct Labor | 574,000 | |
| Manufacturing Overhead | 163,000 | |
| Wages Payable | 737,000 | |
| Wages Payable | 737,000 | |
| Work in Process | 574,000 | |
| Manufacturing Overhead | 163,000 | |
| Work in Process | 574,000 | |
| Manufacturing Overhead | 163,000 | |
| Wages Payable | 737,000 | |
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Managerial Accounting
Authors: John Wild
1st Edition
0073403989, 978-0073403984
