Kilbuck Manufacturing Operates in a Lean Manufacturing Environment

Multiple Choice

Kilbuck Manufacturing operates in a lean manufacturing environment. Kilbuck's actual conversion costs for the month of May follow: Direct and indirect labor
$150,000
Machine depreciation
85,000
Maintenance and supplies
60,000
Total conversion costs
$295,000
The journal entry to record May's conversion costs will include:

A) a credit to Work in Process Inventory
B) a debit to Raw Materials Inventory
C) a credit to Raw and In Process Inventory
D) a debit to Raw and In Process Inventory