Pentyl Company manufactures t-shirts. During the year, it manufactured 100,000 t-shirts, using 3 hours of direct...

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Pentyl Company manufactures t-shirts. During the year, it manufactured 100,000 t-shirts, using 3 hours of direct labor at a rate of $7 per hour. The materials and labor standards for manufacturing the t-shirts are as follows: Direct materials (5 yards of fabric @ $4 per yard) Direct labor (2 hours @ $8.00 per hour) It took Pentyl 600,000 yards at $3.50 per yard to make the 100,000 t-shirts. What is the entry to record the issuance and usage of materials? a. debit Work in Process, 6,500,000 debit Materials Usage Variance, 250,000 credit Materials, 5,400,000 b. debit Work in Process, 2,000,000 debit Materials Usage Variance, 400,000 credit Materials, 2,400,000 c. debit Work in Process, 3,200,000 credit Materials Usage Variance, 430,000 credit Materials, 3,560,000 d. debit Work in Process, 8,100,000 debit Materials Usage Variance, 400,000 credit Materials, 1,500,000 $20 16 Pentyl Company manufactures t-shirts. During the year, it manufactured 100,000 t-shirts, using 3 hours of direct labor at a rate of $7 per hour. The materials and labor standards for manufacturing the t-shirts are as follows: Direct materials (5 yards of fabric @ $4 per yard) Direct labor (2 hours @ $8.00 per hour) It took Pentyl 600,000 yards at $3.50 per yard to make the 100,000 t-shirts. What is the entry to record the issuance and usage of materials? a. debit Work in Process, 6,500,000 debit Materials Usage Variance, 250,000 credit Materials, 5,400,000 b. debit Work in Process, 2,000,000 debit Materials Usage Variance, 400,000 credit Materials, 2,400,000 c. debit Work in Process, 3,200,000 credit Materials Usage Variance, 430,000 credit Materials, 3,560,000 d. debit Work in Process, 8,100,000 debit Materials Usage Variance, 400,000 credit Materials, 1,500,000 $20 16

Answer rating: 100% (QA)

ANSWER d debit Work in Process 8100000 debit Materials Usage Variance 400000 credit ... View the full answer