Question

Dawn Manufacturing’s records show a journal entry was made debiting Work in Process Inventory and crediting Raw Materials Inventory for $100. The journal entry was made to record which of the following events? 1. Direct materials were placed into production 2. A materials requisition slip was prepared and approved A : 1 only B : 1 and 2 C : 2 only D : Neither 1 nor 2

Answer 1

The correct answer is option (B) 1 and 2

Step-by-step explanation:

Solution

The journal entry for Direct materials were set into production or materials requisition slip was approved or prepared.

JOURNAL ENTRY FOR DAWN MANUFACTURING RECORDS

Debit ($) Credit ($)

Work in Process Inventory 100

The raw Material Inventory 100

Therefore from the journal stated above the entry was made to record direct materials and materials requisition slip prepared

The option B is the right choice.