Principles of Management Accounting week 2

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Empire Computer Company completed Job #123A during the month, and the total COGM was $10,500. Upon closure of this job, an entry would be made debiting ______ and crediting­­­______ for $10,500.

Selected: a. finished goods; credit to work-in-process. This answer is correct.
b. none of these answers
c. work-in-process; finished goods
d. cost of goods manufactured; cost of goods sold

Correct! When a job is completed, to reflect the COGM appropriately, the entry will be a debit to finished goods and a credit to work-in-process.

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