Deporte Company produces single-colored t-shirts. Materials for the shirts are dyed in large vats. After dying the

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Deporte Company produces single-colored t-shirts. Materials for the shirts are dyed in large vats. After dying the materials for a given color, the vats must be cleaned and prepared for the next batch of materials to be colored. The following standards for changeover for a given batch have been established:

1	Direct materials (2.6 lbs. @ $0.95)	$2.47
2	Direct labor (0.60 hr. @ $7.2)	4.32
3	Standard prime cost	$6.79

During the year, 76,950 pounds of material were purchased and used for the changeover activity. There were 27,000 batches produced, with the following actual prime costs:

Direct materials	$60,979
Direct labor (for 16,155 hrs.)	$114,341

	Required:
1.	Prepare a journal entry on Dec. 31 for the purchase of raw materials. Record the transaction as a compound entry.
2.	Prepare a journal entry on Dec. 31 for the issuance of raw materials. Record the transaction as a compound entry.
3.	Prepare a journal entry on Dec. 31 for the addition of labor to Work in Process. Record the transaction as a compound entry.
4.	Prepare a journal entry on Dec. 31 for the closing of variances to Cost of Goods Sold. Record the transaction as a compound entry.