Computing and Journalizing Cost Variances $11/7$ Enterprises is a large producer of gourmet pet food. During April, it produced $160$ batches of puppy meal. Each batch weighs $1,200$ pounds. To produce this quantity of output, the company purchased and used $150,000$ pounds of direct materials at a cost of $$105,000.$ It also incurred direct labor costs of $$19,200$ for the $2,500$ hours worked by employees on the puppy meal crew. Manufacturing overhead incurred at the puppy meal plant during April totaled $$4,000,$ of which $$3,000$ was considered fixed. Sven's standard cost information for $1,200-$pound batches of puppy meal is as follows:

Direct materials standard price: $$4\mathrm{.}50$ per pound

Standard quantity allowed per batch: $1,100$ pounds

Direct labor standard rate: $$9\mathrm{.}00$ per hour

Standard hours allowed per batch: $15$ direct labor hours

Fixed overhead budgeted: $$3,000$ per month

Normal level of production: $150$ batches per month

Variable overhead application rate: $$10\mathrm{.}00$ per batch

Fixed overhead application rate: $($$$3,000150$ batches$)=$ $$20\mathrm{.}00$ per batch

Total overhead application rate: $$30\mathrm{.}00$ per batch

Instructions

a$.$ Compute the materials price and quantity variances.

b$.$ Compute the labor rate and efficiency variances.

c$.$ Compute the manufacturing overhead spending and volume variances.

d$.$ Record the journal entry to charge materials $($at standard$)$ to Work in Process.

e$.$ Record the journal entry to charge direct labor $($at standard$)$ to Work in Process.

f$.$ Record the journal entry to charge manufacturing overhead $($at standard$)$ to Work in Process.

g$.$ Record the journal entry to transfer the $160$ batches of puppy meal produced in April to Finished Goods.

h$.$ Record the journal entry to transfer any over$-$ or underapplied overhead to Cost of Goods Sold.