Question

EA15.

LO 4.7A summary of material requisition slips and time tickets, along with the overhead allocation, show these costs:




Prepare an entry to record the assignment of direct material to work in process.
Prepare an entry to record the assignment of direct labor to work in process.
Prepare an entry to record the assignment of manufacturing overhead to work in process.

Answer 1

work in process debit

raw materials credit

work in process debit

wages payable* credit

work in process debit

manufacturing overhead credit

Step-by-step explanation:

We are n't given with numbers but we can determinate the account and were to post the value

We will debit the WIP as qualifies as assets (later it will become finished product that once sold will generate cash for the company) in all the cases, as we are allocating into that.

for raw materials we will credit the raw material inventory as is decreasing

for labor we will declare the wages payables.

*if the employee were paid during the period then we will credit cash directly

for overhead we will determinate the amount allocated and then, credited against WIP