Given the Following Account Balances at the End of the First

question 11

Multiple Choice

Given the following account balances at the end of the first year of operations: $\begin{array}{lr}\text { Direct materials inventory } & \$ 60,000 \\\text { Work in process inventory } & 200,000 \\\text { Finished goods inventory } & 200,000 \\\text { Cost of goods sold } & 600,000 \\\text { Direct material price variance } & 65,000 \mathrm{~F} \\\text { Direct material efficiency } & 195,000 \mathrm{U}\end{array}$
Assuming that variances are considered material, the entry and amount of the direct material efficiency variance allocated to work in process inventory is:

• A) Credit $39,000
• B) Credit $36,792
• C) Debit $36,792
• D) Debit $39,000

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Definitions:

Praxis

Practical ways of doing things.

Vegetarianism

A dietary lifestyle that excludes meat, and sometimes other animal products, for health, ethical, or environmental reasons.

Human Behavior

The range of actions and mannerisms exhibited by humans in conjunction with their environment, social or personal.

Meat-eating

The consumption of animal flesh by humans.