Question

During March, Pendergraph Corporation incurred $66,000 of actual Manufacturing Overhead costs. During the same period, the Manufacturing Overhead applied to Work in Process was $68,000. The journal entry to record the incurrence of the actual Manufacturing Overhead costs would include a: Multiple Choice debit to Work in Process of $68,000 credit to Work in Process of $68,000 credit to Manufacturing Overhead of $66,000 debit to Manufacturing Overhead of $66,000

Answer 1

debit to manufacturing overhead of $66,000

Step-by-step explanation:

The answer to the above is debit to manufacturing overhead of $66,000, hence the journal entry to record the actual manufacturing overhead costs would be;

Dr Manufacturing overhead account $66,000

Cr Work in process account $66,000

Please note that the manufacturing overhead applied to work in process will not be considered for this transaction.