Question

During the period, labor costs incurred amounted to $175,000, including $150,000 for production orders and $25,000 for general factory use. Factory overhead applied to production was $32,000. The journal entry for the actual factory overhead costs incurred is

a. Accounts Payable 25,000

Factory Overhead 25,000

b. Factory Overhead 32,000

Accounts Payable 32,000

c. Work in Process 25,000

Wages Payable 25,000

d. Factory Overhead 25,000

Wages Payable 25,000

Answer

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