In a process costing system, when manufacturing overhead costs are applied to the cost of production, they are debited to: Multiple Choice the Finished Goods Inventory account. the Cost of Goods Sold account. the Work in Process Inventory account. the Manufacturing Overhead account. the Raw Materials Inventory account.

the Work in Process Inventory account

Explanation:

The journal entry to record the manufacturing overhead costs applied to the cost of production includes -

Debit    Work in Process Inventory account    

Credit   Manufacturing overhead                      

As the work is in progress, it cannot be a finished goods inventory or even a cost of goods sold account. Again, raw materials inventory will not come here as manufacturing overhead costs assigned to the cost of production. Therefore, option C is correct.

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