Information on Bowgie Chemicals direct materials costs follows.

Actual quantities of direct materials used		31,700
Actual costs of direct materials used	$	145,000
Standard price per unit of direct materials	$	4.37
Flexible budget for direct materials	$	123,100

Bowgie Chemicals has no materials inventories.

Required: a. Prepare a short report for management showing Bowgie Chemicalss direct materials price and efficiency variances. b. (Appendix) Prepare the journal entries to record the purchase and use of the direct materials using standard costing.

Complete this question by entering your answers in the tabs below.

• Required A
• Required B

Prepare a short report for management showing Bowgie Chemicalss direct materials price and efficiency variances. (Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.)

Direct materials price variance
Direct materials efficiency variance

Note: Enter debits before credits.

Event	General Journal	Debit	Credit
1