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) Diva, Inc. is a privately held furniture manufacturer. For August 2020, Diva had the following standards for one of its products, a wicker chair: (Click the icon to view the standards.) (Click the icon to view the costs and variances for actual production "option 1") D Direct Materials Control Work-in-Process Control Wages Payable Control Direct Materials Price Variance Direct Mfg. Labor Price Variance Accounts Payable Control CIS (Click t Requireme Prepare jou two options Direct Materials Efficiency Variance Direct Mfg. Labor Efficiency Variance Option 2. Prepare the journal entry for the direct materials price variance. (Record debits first, then credits. Exclude explanations from any journal en Journal Entry For August 2020, Diva had the following costs and variances for actual production of 2,500 chairs, 7,100 square yards of input purchased and used: Option 1: Actual production Direct materials Direct manufacturing labor Flexible Actual costs Budgeted price budget costs $ 39,750 38,340 $ 9,870 37,630 $ 9,776 13,000 Direct materials Direct manufacturing labor Print $ Actual Input Price variances 710 U 94 U Standard Costs and Usage Done $ Efficiency variances 2,120 F 3,224 F Standards per Chair 3 square yards of input at $5.30 per square yard Direct materials Direct manufacturing labor 0.5 hour of input at $10.40 per hour

) Diva, Inc. is a privately held furniture manufacturer. For August 2020, Diva had the following standards for one of its products, a wicker chair: (Click the icon to view the standards.) (Click the icon to view the costs and variances for actual production "option 1") D Direct Materials Control Work-in-Process Control Wages Payable Control Direct Materials Price Variance Direct Mfg. Labor Price Variance Accounts Payable Control CIS (Click t Requireme Prepare jou two options Direct Materials Efficiency Variance Direct Mfg. Labor Efficiency Variance Option 2. Prepare the journal entry for the direct materials price variance. (Record debits first, then credits. Exclude explanations from any journal en Journal Entry For August 2020, Diva had the following costs and variances for actual production of 2,500 chairs, 7,100 square yards of input purchased and used: Option 1: Actual production Direct materials Direct manufacturing labor Flexible Actual costs Budgeted price budget costs $ 39,750 38,340 $ 9,870 37,630 $ 9,776 13,000 Direct materials Direct manufacturing labor Print $ Actual Input Price variances 710 U 94 U Standard Costs and Usage Done $ Efficiency variances 2,120 F 3,224 F Standards per Chair 3 square yards of input at $5.30 per square yard Direct materials Direct manufacturing labor 0.5 hour of input at $10.40 per hour

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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5 Diva, Inc. is a privately held furniture manufacturer. For August 2020, Diva had the following standards for one of its products, a wicker chair: (Click the icon to view the standards.) (Click the icon to view the costs and variances for actual production "option 1".) Direct Materials Control Work-in-Process Control Wages Payable Control Direct Materials Price Variance Direct Mfg. Labor Price Variance Accounts Payable Control (Click t Requireme Prepare jou two options Journal Entry Direct Materials Efficiency Variance Direct Mfg. Labor Efficiency Variance Option 2. Prepare the journal entry for the direct materials price variance. (Record debits first, then credits. Exclude explanations from any journal en For August 2020, Diva had the following costs and variances for actual production of 2,500 chairs, 7,100 square yards of input purchased and used: Option 1: Actual production Direct materials Direct manufacturing labor $ Actual costs Budgeted price 38,340 $ 9,870 Direct materials Direct manufacturing labor Print $ Actual input Price variances 710 U 94 U Standard Costs and Usage x Done 37,630 $ 9,776 $ Flexible budget costs 39,750 13,000 Efficiency variances 2,120 F 3,224 F Direct materials Direct manufacturing labor 0.5 hour of input at $10.40 per hour Standards per Chair 3 square yards of input at $5.30 per square yard
Transcribed Image Text:5 Diva, Inc. is a privately held furniture manufacturer. For August 2020, Diva had the following standards for one of its products, a wicker chair: (Click the icon to view the standards.) (Click the icon to view the costs and variances for actual production "option 1".) Direct Materials Control Work-in-Process Control Wages Payable Control Direct Materials Price Variance Direct Mfg. Labor Price Variance Accounts Payable Control (Click t Requireme Prepare jou two options Journal Entry Direct Materials Efficiency Variance Direct Mfg. Labor Efficiency Variance Option 2. Prepare the journal entry for the direct materials price variance. (Record debits first, then credits. Exclude explanations from any journal en For August 2020, Diva had the following costs and variances for actual production of 2,500 chairs, 7,100 square yards of input purchased and used: Option 1: Actual production Direct materials Direct manufacturing labor $ Actual costs Budgeted price 38,340 $ 9,870 Direct materials Direct manufacturing labor Print $ Actual input Price variances 710 U 94 U Standard Costs and Usage x Done 37,630 $ 9,776 $ Flexible budget costs 39,750 13,000 Efficiency variances 2,120 F 3,224 F Direct materials Direct manufacturing labor 0.5 hour of input at $10.40 per hour Standards per Chair 3 square yards of input at $5.30 per square yard
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