Question 1 Required information (Appendix 10B) The Baby Clothing Company makes and sells a single product, called a New bodysuit and employs a standard costing system. The following standards have been established for one unit of New bodysuit: Direct Materials Direct Labour Standard Quantity or Hours 5 board metre 0.7 hours Standard Cost per New bodysuit $8.00 $8.40 There were no inventories of any kind on August 1. During August, the following events occurred: Purchased 14,000 board metres at the total cost of $22,000. Used 10,300 board metres to produce 2,100 New bodysuits. Used 1,400 hours of direct labour time at a total cost of $18,060. a) To record the purchase of direct materials, the general ledger would include what entry to the Materials Price Variance account? b) To record the use of direct materials in production, the general ledger would include what entry to the Materials Quantity Variance account