Asked by Mauricio Davila on May 03, 2024
Verified
Which of the following entries would not be found on the books of a service provider?
A) a debit to Work in Process and a credit to Materials
B) a debit to Work in Process and a credit to Wages Payable
C) a debit to Work in Process and a credit to Overhead
D) a debit to Cost of Services and a credit to Work in Process
Service Provider
An entity that provides services to other entities, typically in exchange for payment.
Work in Process
Inventory items that are in the process of being produced but are not yet completed, often referred to as WIP.
- Understand the significance of job order costing in organizations focused on services and manufacturing processes.
Verified Answer
PY
Paige YoderMay 08, 2024
Final Answer :
A
Explanation :
A debit to Work in Process and a credit to Materials is an entry found on the books of a manufacturer, not a service provider.
Learning Objectives
- Understand the significance of job order costing in organizations focused on services and manufacturing processes.
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