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Accounting for labour

10y ago
In a typical cost ledger, what is the double entry for indirect labour cost incurred? A DR Wages control CR Overhead control B DR Admin overhead control CR Wages control C DR Overhead control CR Wages control D DR Wages control CR Admin overhead control Hi sir,I have a question why DR Admin overhead control is incorrect,in bpp book ,Admin overhead are belong to indirect labour cost
John MoffatJohn MoffatTutor10y ago#1
Admin overheads do not belong to indirect labour costs - they are not labour costs. They are both overheads so indirect labour will be debited to overhead control.
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