Oxford Company uses a job order costing system. In the last month, the system accumulated labor time tickets total $24,600 for direct labor and $4,300 for indirect labor. How are these costs recorded?

Multiple Choice

• Debit Payroll Expense $28,900; credit Cash $28,900.

• Debit Payroll Expense $24,600; debit Factory Overhead $4,300; credit Factory Wages Payable $28,900.

• Debit Work in Process Inventory $24,600; Debit Factory Overhead $4,300; Credit Factory Wages Payable $28,900.

• Debit Work in Process Inventory $24,600; credit Factory Wages Payable $28,900.

• Debit Work in Process Inventory $28,900; credit Factory Wages Payable $28,900.