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Saskatewan Can Company manufactures recyclable soft-drink cans. A unit of production is a case of 12 dozen cans. The following standards have been set by

Saskatewan Can Company manufactures recyclable soft-drink cans. A unit of production is a case of 12 dozen cans. The following standards have been set by the production-engineering staff and the controller.

Direct Labor: Direct Material:
Quantity, 0.29 hour Quantity, 8 kilograms
Rate, $14.50 per hour Price, $0.68 per kilogram

Actual material purchases amounted to 412,800 kilograms at $0.70 per kilogram. Actual costs incurred in the production of 48,000 units were as follows:

Direct labor: $228,096 for 15,360 hours
Direct material: $273,840 for 391,200 kilograms

Prepare the following journal entries. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round intermediate calculations.)

1. Record the purchase of direct material on account and the direct-material purchase price variance.

2. Record the addition of direct-material cost to work-in-process inventory and the direct-material quantity variance.

3. Record the addition of direct-labor cost to work-in-process inventory and the direct-labor variances.

4. Record the closing of the direct-material and direct-labor variances to cost of goods sold.

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