Darren Company Adopted a Standard Cost System Several Years Ago $\begin{array}{llcc} \text { Material:8 kilograms@\$5 per kilogram } & \$40.00\\ \text { Labor:6hours@\$8.20perhour } &\$49.20 \\\end{array}$

question 27

Essay

Darren Company adopted a standard cost system several years ago. The standard costs for the prime costs of its single product are as follows:
$\begin{array}{llcc} \text { Material:8 kilograms@\$5 per kilogram } & \$40.00\\ \text { Labor:6hours@\$8.20perhour } &\$49.20 \\\end{array}$

The following operating data were taken from the records for November:
$\begin{array}{lc}\text { Units completed } & 5,600 \text { units } \\\text { Budgeted output } & 6,000 \text { units } \\\text { Purchase of materials } & 50,000 \text { kilograms }\\\text { Total actual labor costs}&\$ 300,760 \\\text { Actual labor hours}&36,50 \text { hours}\\\text { Material efficiency (quantity) variance } & \$ 1,500 \text { Unfavorable } \\\text { Total material variance } & \$ 750 \text {unfavorable }\end{array}$
Required:
Prepare the journal entries to record the following:
a. Purchase and use of direct materials (Assume materials are used as purchased and no inventory is maintained).
b. Recognition of direct labor.

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Definitions:

Organizational Citizenship Behavior

Voluntary, extra-role actions performed by employees that contribute to the overall effectiveness and positive atmosphere of an organization.

Self-Esteem

An individual's subjective assessment of their own worth or value.

Happiness

A condition marked by happiness and satisfaction, featuring a range of positive feelings from general contentment to profound bliss.

Meaning

The significance or interpretation assigned to something, such as a word, symbol, gesture, or event.