Problem $15-45($Algo$)$ Four$-$Variance Analysis; Journal Entries $[$LO $15-1,15-2,15-3,15-4]$

Edney Company employs a standard cost system for product costing. The per$-$unit standard cost of its product is:$$14\mathrm{.}0016\mathrm{.}0026\mathrm{.}00$$$56\mathrm{.}00$

The manufacturing overhead rate is based on a normal capacity level of $600,000$ direct labor hours. $($Normal capacity is defined as the level of capacity needed to satisfy average customer demand over a period of two to four years. Operationally, this level of capacity would take into consideration sales trends and both seasonal and cyclical factors affecting demand.$)$ The firm has the following annual manufacturing overhead budget:

$\backslash$table$[[\backslash$table$[[$Variable$],[$Fixed$]],\backslash$table$[[$$$4,200,000$