Dock Company manufactures boat docks on an assembly line. Its standard costing system uses two cost categories, direct materials and conversion costs. Each product must pass through the Assembly Department and the Finishing Department. Direct materials are added at the beginning of the production process. Conversion costs are allocated evenly throughout production.

Data for the Assembly Department for May 2015 are:

Work in process, beginning inventory 70 units

Direct materials (100% complete)

Conversion costs (25% complete)

Units started during May 40 units

Work in process, ending inventory: 10 units

Direct materials (100% complete)

Conversion costs (50% complete)

Costs for May :

Standard cost for Assembly:

Direct materials $8,000 per unit

Conversion costs $32,000 per unit

Work in process, beginning inventory:

Direct materials $280,000

Conversion costs $520,000

Question:

Which of the following journal entries records the stardard costs of direct materials assigned to units worked on and total direct materials variances assuming that the Assembly Department used 10% less materials than expected?

A) Work in Process Assembly 320,000 Assembly Department Materials Cost Control 320,000 B) Work in Process Assembly 320,000 Direct Materials Variance 32,000 Assembly Department Materials Cost Control 288,000 C) Work in Process Assembly 32,000 Assembly Department Materials Cost Control 32,000 D) Work in Process Assembly 288,000 Direct Materials Variances 32,000 Assembly Department Materials Cost Control 320,000