When Direct Labor Costs Are Recorded in a Job Costing

Multiple Choice

When direct labor costs are recorded in a job costing:

A) Factory Wages Payable is debited and Work in Process Inventory is credited.
B) Work in Process Inventory is debited and Factory Wages Payable is credited.
C) Cost of Goods Manufactured is debited and Direct Labor is credited.
D) Direct Labor and Indirect Labor are debited and Factory Wages Payable is credited.
E) Work in Process Inventory is debited and Factory Overhead is credited.