PROBLEM 11-18. (Appendix) Recording Standard Costs [LO 1, 2] Bechtel Technical Clothing produces parkas used by arctic explorers, mountain climbers, and people living in Minnesota. The company uses a standard costing system, and standards call for 2.5 yards of material at $55 per yard for each parka. The standard cost for labor is 3.5 hours at $35 per hour. Standard overhead is $14 per unit. For the year 2018, expected production is 8,000 parkas with fixed overhead of $60,000 and variable overhead of $6.50 per parka.

During 2018, 8,500 parkas were manufactured. The company purchased 24,000 yards of material at a cost of $1,375,000. Production required 22,300 yards of material. The cost of direct labor was $1,000,000 for 27,500 hours. Actual overhead for the year was $90,000.

REQUIRED

a. Prepare journal entry to record the purchase of material.

b. Prepare journal entry to record material used in production.

c. Prepare journal entry to record direct labor.

d. Prepare journal entry to record actual overhead and overhead applied.

e. Prepare journal entry to close the variances in requirements a through d to Cost of Goods Sold.

Please provide the solution in Excel sheet with formulas for each calculated numbers. Thank you.