Question: MajorNet Systems is a start-up company that makes connectors for high-speed Internet connections. MajorNet has budgeted three hours of direct labor per connector, at a
MajorNet Systems is a start-up company that makes connectors for high-speed Internet connections. MajorNet has budgeted three hours of direct labor per connector, at a standard cost of $17 per hour. During August, technicians actually worked 189 hours completing 84 connectors actually produced were sold. MajorNet paid the technicians $17.80 per hour. The journal entry to record MajorNet's use of direct labor in August is which of the following?
a. work in process inventory
direct labor efficiency variance
manufacturing wages (this is indented)
b. manufacturing wages
direct labor efficiency variance
work in process inventory (this is indented)
c. manufacturing wages
direct labor efficiency variance (this is indented)
work in process inventory(this is indented)
d. work in process inventory
direct labor efficiency variance (this is indented)
manufacturing wages (this is indented)
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