Joelle Company accumulated 530 hours of direct labor costs on Job 233 and 615 hours on Job 234. The total direct labor was incurred at a rate of $20 per direct labor hour. Which of the following journal entries is correct

Journal Entry

Job 233

Dr Wage Control A/c $10,600

Cr. Work in Process A/c $10,600

Job 234

Dr Wage Control A/c $12,300

Cr. Work in Process A/c $12,300

Explanation:

Work in process account is used to record all the cost of manufacturing products which is under process. This account maintain the records of product under process and transferred these costs when products are completed.

Job 233

Wage expense = 530 x $20 = $10,600

Job 234

Wage expense = 615 x $20 = $12,300