Please solve this problem Exercise 23-22 Levine Inc., which produces a single pr
ID: 2584558 • Letter: P
Question
Please solve this problem
Exercise 23-22 Levine Inc., which produces a single product, has prepared the following standard cost sheet for one unit of the product. $18.20 $56.00 Direct materials (7 pounds at $2.60 per pound) Direct labor (4 hours at $14.00 per hour) During the month of April, the company manufactures 350 units and incurs the following actual costs Direct materials purchased and used (2,490 pounds) $6,972 $19,448 Direct labor (1,430 hours) Journalize the entries to record the materials and labor variances. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to o decimal places, e.g. 125) Account Titles and Explanation Debit Credit (To record materials price variance)Explanation / Answer
Journal entry :
Date accounts & explanation debit credit Raw material a/c (2490*2.6) 6474 Material price variance 498 Account payable a/c 6972 (TO record material price variance) Work in process a/c (350*18.20) 6370 Material quantity variance a/c 104 Raw material a/c (2490*2.60) 6474 (To record material quantity variance) Work in process a/c (350*56) 19600 Labour efficiency variance 420 Labour price variance 572 Wages payable a/c 19448 (TO record labour variance)