What is the journal entry to record the direct and indirect labor costs incurred during the year?
1) Debit Direct Labor 574,000, Credit Manufacturing Overhead 163,000, Wages Payable 737,000
2) Debit Work in Process 574,000, Credit Manufacturing Overhead 163,000, Wages Payable 737,000
3) Debit Wages Payable 737,000, Credit Work in Process 574,000, Manufacturing Overhead 163,000
4) Debit Wages Payable 737,000, Credit Direct Labor 574,000, Manufacturing Overhead 163,000