It's Year-End and You Have the Task of Clearing Up

question 49

Essay

It's year-end and you have the task of clearing up the final accounting entries for management accounting.There is an unfavourable direct materials rate variance of $25,000 which needs to be closed.The company uses the proration approach in this situation, and it has been determined that half of the variance should be charged to finished goods and half to cost of goods sold.Required:
Prepare the necessary entry for the end of period adjustment.

---

Definitions:

Ersatz-Participant

This seems to be a fabricated term that does not correspond to a widely recognized key term in the provided context. NO.

A Priori Causal Theories

Preexisting theories, acquired from culture or factors that are particularly prominent in conscious attention at the moment.

Repress Unpleasant Information

The involuntary forgetting or pushing aside of difficult or disturbing facts, thoughts, or memories.

Self-Reported Accounts

Information provided by individuals about themselves, often used in research to gather data on behaviors, attitudes, and experiences.