A person works as a cashier in a major supermarket. She sells vegetables to

Result:

The direct labor rate variance is positive $3,400.

Details:

Here’s the information we have:

The total actual labor cost for the company was $200,600, which covered 17,000 direct labor hours. The standard cost per hour is $12.

To find the direct labor rate variance, we begin by determining the actual rate.

Actual rate = $200,600 / 17,000 = $11.8 per hour.

Now we can compute the direct labor rate variance:

Direct labor rate variance = (Standard Rate - Actual Rate) * Actual Quantity

Direct labor rate variance = (12 - 11.8) * 17,000 = positive $3,400.

This variance is favorable as the actual rate was less than the standard rate.

Answer: 2, 3, 4, 5

This is the response, just finished the assignment.

Explanation:

Response:

Closing Journal Entries:

1. Debit Fees Earned $56,000

Credit Income Statement $56,000

To finalize the account for the period.

2. Debit Income Statement $25,000

Credit Depreciation Expense $25,000

To finalize the account for the period.

3. Debit Income Statement $23,000

Credit Salaries Expense $23,000

To finalize the account for the period.

4. Debit Income Statement (Retained Earnings) $2,000

Credit Dividends $2,000

To finalize the account for the period.

Clarification:

Closing entries involve journalizing actions to wrap up temporary accounts, such as revenue and expenses, to the Income Statement. This ensures that only permanent accounts remain for the Balance Sheet moving forward. Temporary accounts do not carry over to subsequent periods unlike permanent accounts.

These closing entries transfer all revenue and expense entries at the conclusion of an accounting period to an income summary account, which is used to compute the financial performance metrics (which include gross profit and net income or loss) for that period.