Question

In a job-order costing system, the use of indirect materials that have been previously purchased is recorded as a credit to: a. work in process inventory. b. manufacturing overhead. c. raw materials inventory. d. finished goods inventory.

Answer 1

c. raw materials inventory.

Step-by-step explanation:

The journal entry to record the indirect material used in the production is given below:

Manufacturing overhead Dr XXXXX

To Raw material XXXXX

(Being the indirect material used is recorded)

Here the manufacturing overhead is debited as it increased the expense while the raw material is credited as it decreased the assets

Therefore the option c is correct