Interpreting journal entries, backflush method 1 Following are journal entries required to assign direct materials and direct labor to production for one week. Direct material price variances were isolated when materials were purchased and placed into inventory. Assume the journal entry to record materials purchases to the Raw Materials Inventory account has been made. 

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Work in Process, Labor Labor Rate Variance ... 55,890 1,280 Labor Efficiency Variance 1,650 Payroll Payable..... 55,520 Work in Process, Materials 47,300 Material Quantity Variance 1,960 Raw Materials Inventory 45,340 Finished Goods. 103,190 Work in Process 103,190