Swifty Corp. supplies its customers with high$-$quality canvas tents. These canvas tents sell for $$170$ each, with the following DM and

DL usage and price expectations.

Direct materials

$10$ square yards per unit

Direct labor

$1\mathrm{.}1$ DL hours per unit

Variable$-$ MOH

$1\mathrm{.}1$ DL hours per unit

Fixed$-$MOH

$1\mathrm{.}1$ DL hours per unit

@ $$6/5$quare yard

@ $$16/$DL hour

$(9)$ $$2\mathrm{.}80/$DL hour

@ $$5/$DL hour

Throughout the year, Swifty used $3,780$ DL hours in the process of making $3,500$ tents. The company had originally planned to produce

and sell $3,200$ tents with budgeted fixed$-$ MOH cost of $$17,600.$ Its actual fixed$-$ MOH costs amounted to $$17,086$ for the year.

$($a$)$

Your answer is correct.

Determine Swifty's fixed$-$MOH price and volume variances. Also identify whether the company's fixed$-$MOH costs were under$-$or

overapplied, and by how much.

Fixed$-$MOH price variance

Fixed$-$ MOH volume variance

$

Favorable

Fixed$-$MOH

$($b$)$

Record the journal entries to accompany the following transactions for variable$-$ MOH : $(1)$ actual variable$-$MOH cost incurred

$($consider that half was for utilities not yet paid, and half was for accrued indirect labor$),(2)$ allocation of variable$-$MOH cost to

production, and $(3)$ recognition of specific variable$-$ MOH variances $($while closing out the Variable$-$MOH Control account$).($Credit

account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the

account titles and enter $0$ for the amounts. List all debit entries before credit entries.$)$

No$.$ Account Titles and Explanation

Debit

Credit

$(1)$

$(2)$

$(3)$