Gates Corporation reported the following information concerning its direct materials. Direct materials purchased (actual) Standard cost of materials purchased Standard price times actual amount of materials used Actual production Standard direct materials costs per unit produced 5678,000 $763,500 5559,000 27.500 units 5 20 Assume that Gates Company had no beginning finished goods inventory and only produced one product Gates sold 25.000 units during the period Required: .. Assume Gates writes off all variances to Cost of Goods Sold. Prepare the entries Gites would make to record and close out the variances, b. Assume Gates prorates all variances to the appropriate accounts. Prepare the entries Gates would make to record and close out the variances Complete this question by entering your answers in the tabs below. Required A Required B Assume Gates prorates all variances to the appropriate accounts. Prepare the entries Gates would make to record and close out the variances (if no entry is required for a transaction/event, select "No Journal entry required in the first account field.) View transaction list Journal entry worksheet Record the cost of the direct materials purchased and the materials price variance. Note: Enter debits before credits. Event General Journal Debit Credit 2 Record entry Clear entry View general Journal Journal entry worksheet Record the cost of the direct materials purchased and the materials price variance. Note: Enter debits before credits Event General Journal Debit Credit 2 Record entry Clear entry View general journal Journal entry worksheet