Assume that SQ = Standard Quantity, SP = Standard Price, AQ = Actual Quantity, and AP = Actual Price. The correct entry along with the equation to record the issuance and usage of materials, assuming a favorable materials usage variance, is as follows

a. debit Work in Process, SQ SP

credit Materials Usage Variance, (AQ SQ) SP

creditMaterials, AQ SP

b. debit Work in Process, SQ SP

debit Materials Usage Variance, (AQ SQ) SP

credit Materials, AQ SP

c. debit Work in Process,AQ AP

credit Materials Usage Variance, (AQ SQ) SP

credit Materials, AQ SP

d. debit Work in Process, AQ AP

debit Materials Usage Variance, (AQ SQ) SP

credit Materials, AQ SP

e. None of these.