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Willoughby Manufacturing pays its direct labor employees $20 per hour. During the current period, 300 direct labor hours were recorded on employee time cards, and the company actually paid its direct labor employees $5,400.
a. Record the summary journal entry to apply direct labor costs to all jobs during the period.
b. Prepare the summary journal entry to record direct labor wages paid during the period.
c. What is the balance of the Direct Labor account at the end of the period? How is it reported in the company's financial statements?
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Prepare the adjusting entry at December 31, assuming straight-line amortization of the discount.
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A soft drink maker wants to expand into a neighboring country. They want the product bottled in that country to avoid political issues and to enhance the local image of the product.
(a) Compute the actual cost per foot for materials for March. (b) Compute the materials price variance and a total variance for materials.
Legolas Company paid $5,000 cash for executive salaries. When thejournal entry to record this payment was made, the payment wasmistakenly added to the cost of land purchased by Legolas. Thejournal entry needed to correct this error wouldbe:
A company estimates that ordering costs are $2.00 per order, picking costs are $1.00 per unique item ordered, packing costs are $0.07 per item, and return costs are $40.00 per return. A customer orders $8,000 worth of goods with direct costs of $6..
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