Widman, Inc

question 1

Multiple Choice

Widman, Inc. makes and sells only one product and uses standard costing. The standard cost sheet for one unit of product includes the following: • Direct materials: 5 grams at $0.35 per gram
• Direct labor: 1 hour at $8 per hour
Last period the company had the following results:
• 5,000 grams of direct materials purchased at $0.40 per gram
• 4,000 grams of direct materials used in production
• 900 units of product were made
• 850 hours of direct labor were used at $8.50 per hour
The journal entry to record the use of direct materials in production last period would include:

• A)Work in process $1,400, Debit; materials quantity variance $175, Debit
• B)Work in process $1,575, Debit; materials quantity variance $175, Credit
• C)Work in process $1,400, Debit; materials quantity variance $175, Credit
• D)Work in process $1,575, Debit; materials quantity variance $175, Debit

---

Definitions:

Blake and Mouton

Creators of the Managerial Grid Model, which emphasizes two dimensions of leadership style: concern for people and concern for production, used for understanding and categorizing management or leadership styles.

Managerial styles

The various approaches, techniques, and behaviors managers use to interact with employees, make decisions, and direct operations within an organization.

Production

The process of creating, manufacturing, or producing goods and services to fulfill consumer needs and wants.

New Leadership

A broad term that describes innovations in leadership research, including leadership as symbolic action, followership, transformational leadership, and a view of leadership as socially constructed.