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Embark Produces Mulch for Landscaping Use

Question 90

Multiple Choice

Embark produces mulch for landscaping use. The following information summarizes production operations for June. The journal entry to record June production activities for direct labor usage is: Embark produces mulch for landscaping use. The following information summarizes production operations for June. The journal entry to record June production activities for direct labor usage is: A) Debit Factory Payroll $160,000; credit Cash $160,000. B) Debit Goods in Process Inventory $160,000; credit Factory Payroll $160,000. C) Debit Cost of Goods Sold $160,000; credit Factory Payroll $160,000. D) Debit Goods in Process Inventory $160,000; credit Raw Materials Inventory $160,000. E) Debit Goods in Process Inventory $160,000; credit Cash $160,000.


A) Debit Factory Payroll $160,000; credit Cash $160,000.
B) Debit Goods in Process Inventory $160,000; credit Factory Payroll $160,000.
C) Debit Cost of Goods Sold $160,000; credit Factory Payroll $160,000.
D) Debit Goods in Process Inventory $160,000; credit Raw Materials Inventory $160,000.
E) Debit Goods in Process Inventory $160,000; credit Cash $160,000.

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