Rees Manufacturing Uses a Standard Cost System

question 74

Multiple Choice

Rees Manufacturing uses a standard cost system.Standards for direct materials are as follows:

Actual purchases of direct materials for the current month are 10,000 pounds for $51,600.Planned and actual production for the month is 3,000 units.Rees has issued 10,000 pounds of direct materials to production.The journal entry to record this transaction is ________.

• A)a debit to Work-in-Process Inventory for $30,960,a credit to Raw Materials Inventory for $36,000,and a debit to Direct Materials Efficiency Variance for $5,040
• B)a debit to Work-in-Process Inventory for $30,960,a credit to Raw Materials Inventory for $60,000,and a debit to Direct Materials Efficiency Variance for $29,040
• C)a debit to Work-in-Process Inventory for $36,000,a credit to Raw Materials Inventory for $60,000,and a debit to Direct Materials Efficiency Variance for $24,000
• D)a debit to Work-in-Process Inventory for $60,000,a credit to Raw Materials Inventory for $51,600,and a credit to Direct Materials Efficiency Variance for $60,000

---

Definitions:

Medial temporal lobe

A region of the brain crucial for the formation of long-term memory and associated with the limbic system.

Memory traces

refer to the physical and potentially long-lasting changes in the neural structure of the brain that represent our experience.

Automatic functions

Processes or behaviors that operate without conscious effort, often as a result of learned patterns or biological predispositions.

Estrogen production

The synthesis of estrogen, a key female sex hormone involved in the regulation of reproductive and sexual functions.