Kilbuck Company Operates in a Lean Manufacturing Environment

Multiple Choice

Kilbuck Company operates in a lean manufacturing environment. Kilbuck applies conversion costs at a rate of $25 per unit. Kilbuck produced 12,000 units during May. Kilbuck's actual conversion costs for the month of May were: The journal entry to record applied conversion costs for May will include a

A) credit to Work in Process Inventory for $300,000
B) debit to Conversion Costs for $300,000
C) credit to Raw and In Process Inventory for $295,000
D) debit to Raw and In Process Inventory for $300,000