LO 4.7In a job order cost system, indirect labor incurred is debited to which account?

work in process inventory

finished goods inventory

manufacturing overhead

cost of goods sold

Question

Business

Luciana Patel

5 October, 05:12

LO 4.7In a job order cost system, indirect labor incurred is debited to which account?

work in process inventory

finished goods inventory

manufacturing overhead

cost of goods sold

+1

Answers (1)

Know the Answer?

Haylie Mathews · Answer 1

manufacturing overhead

Explanation:

Since the manufacturing overhead comprises of all the indirect cost related to the factory like - depreciation on factory equipment, property taxes, indirect labor, indirect material, manager salary who worked for factory, etc

Since indirect labor has come under the manufacturing overhead so, the same is debited to manufacturing overhead as indirect labor is incurred

LO 4.7In a job order cost system, indirect labor incurred is debited to which account?work in process inventoryfinished goods inventorymanufacturing overheadcost of goods sold

LO 4.7In a job order cost system, indirect labor incurred is debited to which account?

work in process inventory

finished goods inventory

manufacturing overhead

cost of goods sold