The Babyplay Company had finished goods inventory totaling 5,600 play pens. Six units of direct materials were required for each unit of finished product. The amount of direct materials used in production totaled 34,000 units; 42,000 units of direct materials were purchased. The direct materials standard price was $1.75 each. The actual direct materials price was $1.70 each. Assume no beginning inventories exist. jk4 Required:
a Prepare the entries for the direct materials variances assuming 1 The Materials Inventory account is maintained at standard costs.
2 The Materials Inventory account is maintained at actual costs.
b Calculate the number of units of direct materials in ending inventory.