ABC company uses a standard costing system. In April 2019, $1,000 of unfavorable price variance and $2,000 of favorable efficiency variance for direct labor were recorded. In addition, the company recorded $2,500 of unfavorable variable overhead flexible budget variance and $3,000 of favorable fixed overhead variance. The company makes year-end adjustments to close all variances into the cost of goods sold account. Which of the following journal entries would have been recorded for April?

a. Credit cost of goods sold for $1,500

b. Debit cost of goods sold for $8,500

c. Credit direct labor efficiency variance for $2,000

d. Debit cost of goods sold for $1,500