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Marciano Manufacturing uses a standard cost system. Standards for direct materials are as
follows: Direct materials (pounds per unit of output) Cost per pound of direct materials $5 The
company plans to produce 3,500 units and has purchased on account 12,000 pounds of direct
materials at a net cost of $43,200. What is the journal entry to record this transaction?
Atoka Manufacturing uses a standard cost system. Standards for direct materials are as follows:
Direct materials (pounds per unit of output) Cost per pound of direct materials A. a debit to
Work - in - Process Inventory for $37,200, a credit to Raw Materials Inventory for $60,000, and
a debit to Direct Materials Efficiency Variance for $22,800 B. a debit to Work - in - Process
Inventory for $60,000, a credit to Raw Materials Inventory for $48,600, and a credit to Direct
Materials Efficiency Variance for $11,400 C. a debit to Work - in - Process Inventory for
$30,132, a credit to Raw Materials Inventory for $37,200, and a debit to Direct Materials
Efficiency Variance for $7,068 D. a debit to Work - in - Process Inventory for $30,132, a credit
to Raw Materials Inventory for $60,000, and a debit to Direct Materials Efficiency Variance for
$29,868

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  • 1. Marciano Manufacturing uses a standard cost system. Standards for direct materials are as follows: Direct materials (pounds per unit of output) Cost per pound of direct materials $5 The company plans to produce 3,500 units and has purchased on account 12,000 pounds of direct materials at a net cost of $43,200. What is the journal entry to record this transaction? Atoka Manufacturing uses a standard cost system. Standards for direct materials are as follows: Direct materials (pounds per unit of output) Cost per pound of direct materials A. a debit to Work - in - Process Inventory for $37,200, a credit to Raw Materials Inventory for $60,000, and a debit to Direct Materials Efficiency Variance for $22,800 B. a debit to Work - in - Process Inventory for $60,000, a credit to Raw Materials Inventory for $48,600, and a credit to Direct Materials Efficiency Variance for $11,400 C. a debit to Work - in - Process Inventory for $30,132, a credit to Raw Materials Inventory for $37,200, and a debit to Direct Materials Efficiency Variance for $7,068 D. a debit to Work - in - Process Inventory for $30,132, a credit to Raw Materials Inventory for $60,000, and a debit to Direct Materials Efficiency Variance for $29,868