Seafarer Company established a standard direct materials cost of 1.5 gallons at $2 per gallon for one unit of its product. During the past month, actual production was 6,500 units. The material quantity variance was $700 favorable and the material price variance was $470 unfavorable. The entry to charge Work in Process Inventory for the standard material costs during the month and to record the direct material variances in the accounts would include all of the following except:
A) A debit to Work in Process for $19,500.
B) A credit to Raw Materials for $19,270.
C) A debit to Direct Material Price Variance for $470.
D) A credit to Direct Material Quantity Variance for $700.
E) A debit to Cost of Goods Sold for $230.
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Seafarer Company established a standard direct materials cost of 1.5 gallons at $2 per gallon for one unit of its product. During the past ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
In November 1, Alan Company signed a 120-day, 10% note payable, with a face value of $27,000. Alan made the appropriate year-end accrual.
Answers (1)
Lincoln has used a piece of land in her business for the past five years. The land qualifies as §1231 property. It is unclear whether Lincoln will have to recognize a gain or loss when she eventually sells the asset.
Answers (1)
True or false? All counties in Texas have the same basic structure, as dictated by law, with little localized variation.
Answers (1)
On January 1, Boston Company completed the following transactions (use a 7% annual interest rate for all transactions) : (FV of $1, PV of $1, FVA of $1, and PVA of $1) (Use the appropriate factor (s) from the tables provided.
Answers (1)
The distinction between operating and nonoperating income relates to: primary activities of the reporting entity. consistency of income stream. continuity of income. reliability of measurements.
Answers (1)
New Questions in Business
Companies can adapt their catalog revenue model online by replacing or supplementing their print catalogs with information on their Web sites. True False
Answers (1)
The United Kingdom produces computers and sells them to Japan. At the same time Japan produces cars and sells them to the United Kingdom. Suppose there is an appreciation in the pound. This will cause: A.
Answers (1)
When obtaining a mortgage, in order to not be taken, paying a much higher rate than neccessary, which can easily cost well over 100,000 additional dollars over the life of the loan, the authors recommend getting a minimum of how many quotes?
Answers (1)
Amber wants to apply for a job vacancy. She calls the recruiter who advertised this vacancy to learn more about the job. The recruiter gives some background information about the positive and negative qualities of the job to Amber.
Answers (1)
What is trade discount
Answers (2)