Materials and Labor Variances Sports Manufacturing, Inc., produces and sells footballs. The standard cost for materials and labor for one regulation-size football is as follows:

During the period, Sports Manufacturing recorded a materials price variance of $100 U and a materials quantity variance of $380 F. In addition, the company recorded a labor rate variance and a labor efficiency variance of $1,200 U and $450 U, respectively. Seven thousand footballs were produced during the period, and the materials inventory did not change during the period.
Required:
1. Compute the actual costs for materials and labor during the period.
2. Provide the journal entries to record the materials price and quantity variances. (Hint:
The amount of materials purchased and used is the same.)
3. Provide the journal entries to record the labor rate and efficiency variances.

Transcribed Image Text:

Direct materials Direct labor 2 feet of leather at $5.50 per foot 1/2 hour at $9.00 per hour