Journalizing the entry to record the application of factory overhead costs to jobs would include a credit to a. Work in Process b. Wages Payable c. Factory Overhead d. Cost of Goods Sold

c. Factory Overhead

Explanation:

The journal entry to record the application of the factory overhead cost is shown below:

Work in process A/c Dr

      To Factory overhead A/c

(Being the factory overhead applied)

The applied factory overhead is computed after considering the predetermined overhead rate. The formula is shown below:

Predetermined overhead rate = (Total estimated manufacturing overhead) ÷ (estimated direct labor-hours)

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