During April, a small roofing company purchased 500 bundles of a certain type of shingle at a price of $20 per bundle, $5 more than the standard price. The standard quantity of this type of shingle is 550 bundles.

What is the journal entry to record the issuance and usage of materials assuming that the roofing company purchased and used 500 bundles?

a. debit Work in Process, 24,365 credit Materials Usage Variance, 500 credit Materials, 21,200

b. debit Work in Process, 10,100 debit Materials Usage Variance, 500 credit Materials, 15,400

c. debit Work in Process, 21,200 debit Materials Usage Variance, 700 credit Materials, 25,600

d. debit Work in Process, 8,250 credit Materials Usage Variance, 750 credit Materials, 7,500