Chapter 6, Problem 4MCQ

To record the transfer of costs from a prior process to a subsequent process, the following entry would be made:

1. a. debit Finished Goods and credit Work in Process.
2. b. debit Work in Process (subsequent department) and credit Transferred-In Materials.
3. c. debit Work in Process (prior department) and credit Work in Process (subsequent department).
4. d. debit Work in Process (subsequent department) and credit Work in Process (prior department)
5. e. None of these.