Then 10B4

PROBLEM 10B-4 Comprehensive Variance Analysis with Incomplete Data Journal Entries L010-1, L010-2, 1010-3, LO1O-SI Maple Products, Ltd., manufactures a super-strong hockey stick. The standard cost of one hockey stick is: Standard Quantity Standard Price Standard or Hours Cost Direct materials Direct labor Varlable manufacturing overhead. Total standard cost 7 feet 2 hours ? hours or Rate $3.00 per toot $%1.30 per hour ? ? per hour 27.00 Last year, 8,000 hockey sticks were produced and sold. Selected cost data relating to last year's operations follow Dr. Cr, Accounts payable-direct materiais purchased (60,000 feet) Wages payable (t hours) Work in process-direct materials Labor rate variance Variable overhead eficiency varlance 174,000 .$115,200 $3,300 $650 Relates to the actual deect labor cost for the year The following additional information is available for last year's operations: a. No materials were on hand at the start of last year. Some of the materials purchased during the year were still on hand in the warehouse at the end of the year b. The variable manufactaring overhead rate is based on direct labor-bours. Total actual variable manufacturing overbend cost for last year was St9,.800 c. Actual direct materals usage for last year exceeded the standard by 0.2 feet per stick Required 1. For direct materials a Compute the price and quantisy variances for last year b. Prepare journal entries to record all activiries relating to direct manerials for last year 475