Question

The following information relates to October: Production supervisor's salary: $3,500 Factory maintenance wages: 250 hours at $10 per hour The journal entry to record the preceding information is:

Answer 1

Answer and Explanation:

The journal entry is shown below;

Manufacturing overhead Dr ($3,500 + 250 hours × $10) $6,000

            To Wages payable $6,000

(Being the manufacturing overhead is recorded)

The manufacturing overhead is debited as it increased the expense and credited the wages payable as it also increased the liabilities