Check my work Required information (The following information applies to the questions displayed below. Hart Company made 3,300 bookshelves using 22,300 board feet of wood costing $303,280. The company's direct materials standards for one bookshelf are 8 board feet of wood at $13.50 per board foot. Hart Company uses a standard costing system. (1) Prepare the journal entry to charge direct materials costs to Work in Process Inventory and record the materials variances. (2) Assume that Hart's materials variances are the only variances accumulated in the accounting period and that they are immaterial. Prepare the adjusting journal entry to close the variance accounts at period-end. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare the journal entry to charge direct materials costs to Work in Process Inventory and record the materials variances. View transaction list Journal entry worksheet A > Record price and quantity variances. Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry Clear entry View general Journal Check my work Required information [The following information applies to the questions displayed below. Hart Company made 3,300 bookshelves using 22,300 board feet of wood costing $303,280. The company's direct materials standards for one bookshelf are 8 board feet of wood at $13.50 per board foot. Hart Company uses a standard costing system. (1) Prepare the journal entry to charge direct materials costs to Work in Process Inventory and record the materials variances. (2) Assume that Hart's materials variances are the only variances accumulated in the accounting period and that they are immaterial. Prepare the adjusting journal entry to close the variance accounts at period-end. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Assume that Hart's materials variances are the only variances accumulated in the accounting period and that they are immaterial. Prepare the adjusting journal entry to close the variance accounts at period-end. View transaction list Journal entry worksheet Required information [The following information applies to the questions displayed below.] Sedona Company set the following standard costs for one unit of its product for this year. Direct material (30 Ibs. @ $2.50 per Ib.) Direct labor (20 hrs. @ $4.60 per hr.) Variable overhead (20 hrs. @ $2.50 per hr.) Fixed overhead (20 hrs. @ $1.10 per hr.) $ 75.00 92.00 50.00 22.00 $ 239.00 Total standard cost The $3.60 ($2.50 + $1.10) total overhead rate per direct labor hour is based on an expected operating level equal to 65% of the factory's capacity of 60,000 units per month. The following monthly flexible budget information is also available. Operating Levels (% of capacity) 60% 65% 70% 36,000 39,000 42,000 720,000 780,000 840,000 Flexible Budget Budgeted output (units) Budgeted labor (standard hours) Budgeted overhead (dollars) Variable overhead Fixed overhead Total overhead $1,800,000 858,000 $ 2,658,000 $1,950,000 858,000 $ 2,808,000 $2,100,000 858,000 $ 2,958,000 During the current month, the company operated at 60% of capacity, employees worked 690,000 hours, and the following actual overhead costs were incurred. Variable overhead costs Fixed overhead costs Total overhead costs $1,750,000 910,000 $ 2,660,000 (1) Compute the predetermined overhead application rate per hour for total overhead, variable overhead, and fixed overhead. Predetermined OH Rate Variable overhead costs Fixed overhead costs Total overhead costs (2) Compute the total variable and total fixed overhead variances and classify each as favorable or unfavorable. (Indicate the effect of each variance by selecting for favorable, unfavorable, and no variance. Round "Rate per hour" answers to 2 decimal places.) ----...At 60% of Operating Capacity---- Standard DL Overhead Costs Hours Actual Results Variance Fav./Unf. Applied Variable overhead costs Fixed overhead costs Total overhead costs
