What is the journal entry to record the purchase of raw materials?
Db A/P (or Cash), Cr RM
Db RM, Cr A/P (or Cash)
Db A/P (or Cash), Cr WIP
Db WIP, Cr A/P (or Cash)
What is the journal entry to record the issue of direct and indirect materials?
Db RM, Cr WIP (direct) and MOH (indirect)
Db WIP (direct) and MOH (indirect), Cr RM
Db WIP (indirect) and MOH (direct), Cr RM
Db RM, Cr WIP (indirect) and MOH (direct)
What is the journal entry to record the incurrence of direct and indirect labor?
Db WIP (direct), MOH (indirect), Cr Salaries & Wages Payable
Db Salaries & Wages Expense, Cr Salaries & Wages Payable
Db Salaries & Wages Payable, Cr WIP (direct), MOH (indirect)
Db Salaries & Wages Payable, Cr Salaries & Wages Expense
What is the journal entry to record the incurrence of miscellaneous indirect manufacturing costs (ex. factory utilities)?
Db A/P (or Cash), Cr WIP
Db WIP, Cr A/P (or Cash)
Db A/P (or Cash), Cr MOH
Db MOH, Cr A/P (or Cash)
What is the journal entry to record the recognition of property taxes to be paid and prepaid insurance that has expired?
Db WIP, Cr Property Taxes Payable and Prepaid Insurance
Db Property Taxes Payable and Prepaid Insurance, Cr MOH
Db Property Taxes Payable and Prepaid Insurance, Cr WIP
Db MOH, Cr Property Taxes Payable and Prepaid Insurance
What is the journal entry to record the recognition accumulated depreciation on manufacturing equipment and/or buildings?
Db MOH, Cr Accumulated Depreciation
Db Depreciation Expense, Cr Accumulated Depreciation
Db Accumulated Depreciation, Cr A/P
Db Accumulated Depreciation, Cr MOH
What is the journal entry to record manufacturing overhead application (applied MOH) to a job?
Db MOH, Cr WIP
Db FG, Cr MOH
Db MOH, Cr FG
Db WIP, Cr MOH
What is the journal entry to record the incurrence of non-manufacturing salaries and wages expenses?
Db Salaries Expense, Cr Salaries & Wages Payable
Db Salaries Expense, Cr MOH
Db Salaries & Wages Payable, Cr MOH
Db Salaries & Wages Payable, Cr Salaries Expense
What is the journal entry to record the recognition accumulated depreciation on non-manufacturing equipment and/or buildings?
Db MOH, Cr Accumulated Depreciation
Db Depreciation Expense, Cr Accumulated Depreciation
Db Accumulated Depreciation, Cr Depreciation Expense
Db Accumulated Depreciation, Cr MOH
What is the journal entry to record the incurrence of selling and administrative/general costs (SAG)?
Db Advertising Expense and Other SAG Expense, Cr A/P (/Cash)
Db MOH, Cr Advertising Expense and Other SAG Expense
Db Advertising Expense and Other SAG Expense, Cr MOH
Db A/P (/Cash), Cr Advertising Expense and Other SAG Expense
What is the journal entry to record the cost of goods that have been finished (cost of goods manufactured)?
Db COGS, Cr FG
Db FG, Cr WIP
Cb FG, Cr COGS
Db WIP, Cr FG
What is the journal entry to record the sale (the revenue) of goods?
Db Sales, Cr A/R (or Cash)
Db A/R (or Cash), Cr COGS
Db COGS, Db A/R (or Cash)
Db A/R (or Cash), Cr Sales
What is the journal entry to record the cost of goods that have been sold?
Db COGS, Cr FG
Db Sales, Cr COGS
Db COGS, Cr Sales
Db FG, Cr COGS
Asset (ex. inventory) accounts are increased with a _______ and decreased with a _______.
debit, credit
Liability (ex. A/P, Salaries & Wages Payable) accounts are increased with a _______ and decreased with a _______.
credit, debit
Expense (ex. Salaries Expense) accounts are increased with a _______ and decreased with a _______.
debit, credit
