Problem - Materials, labor, and overhead variances recorded and analyzed
Brose Company's standard cost accounting system recorded this information from its December operations.
|
Standard direct materials cost
|
$104,000
|
|
Direct materials quantity variance (unfavorable)
|
3,000
|
|
Direct materials price variance (favorable)
|
550
|
|
Actual direct labor cost
|
90,000
|
|
Direct labor efficiency variance (favorable)
|
6,850
|
|
Direct labor rate variance (unfavorable)
|
1,200
|
|
Actual overhead cost
|
375,000
|
|
Volume variance (unfavorable)
|
13,000
|
|
Controllable variance (unfavorable)
|
9,000
|
Required: Prepare December 31 journal entries to record the company's costs and variances for the month.