Properly dispose of overhead variance accounts. (Obj. 8). Cleveland Corporation accumulates overhead variances during the year. At the end of the year all variances are closed out to Cost of Goods Sold.

On December 31, 19X9, the variance accounts had the following balances:

Overhead Volume Variance Overhead Spending Variance Overhead Efficiency Variance

$2,300 favorable

$1,600 unfavorable

$1,100 unfavorable Give the compound general journal entry to close the variance accounts.

LO.1