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The Journal Entry to Record Direct Labor Costs Relating to Work

Question 20

Multiple Choice

The journal entry to record direct labor costs relating to work performed in April includes:


A) A debit to Work-in-Process Inventory for $70,500.
B) A credit to Labor Rate Variance for $7,500.
C) A credit to Labor Efficiency Variance for $4,200.
D) A credit to Direct Labor for $67,200.

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