A company that uses a job order costing system would make the following entry to record the flow of direct materials into production:

A. debit Finished Goods Inventory, credit Raw Materials Inventory.
B. debit Work in Process Inventory, credit Factory Overhead.
C. debit Work in Process Inventory, credit Raw Materials Inventory.
D. debit Factory Overhead, credit Raw Materials Inventory.
E. debit Work in Process Inventory, credit Cost of Goods Sold.


Answer: C

Business

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