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?

A. Debit Work in Process Inventory $24,600; Debit Factory Overhead $4,300; Credit Factory Wages Payable $28,900.
B. Debit Work in Process Inventory $24,600; credit Factory Wages Payable $28,900.
C. Debit Work in Process Inventory $28,900; credit Factory Wages Payable $28,900.
D. Debit Payroll Expense $28,900; credit Cash $28,900.
E. Debit Payroll Expense $24,600; debit Factory Overhead $4,300; credit Factory Wages Payable $28,900.


Answer: A

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