Question

Todd Company APPLIED manufacturing overhead totaling $75,000 to various customer orders during the year. This $75,000 in applied manufacturing overhead was added directly to

Answer 1

Answer: Work-in-Process Inventory

Explanation:

Based on the information given in the question, we would:

Debit: Work in Process $75,000

Credit: Manufacturing overhead $75,000.

It should be noted that Work in process inventory has to do with the materials that are partially completed within the production cycle. They include raw materials, direct labour costs and the factory overheads.