Total Variance - Total Variance $1,175 U The balances in...

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Total Variance The $1,175 total unfavorable variance has now been analyzed into its components for further follow- up by management:  Direct Materials Price Variance $3,000 F Direct Materials Quantity Variance 165 U Direct Labor Price Variance 4,875 U Direct Labor Quantity Variance 1,350 F Overhead Controllable Variance 717 U Overhead Volume Variance 232 F
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Unformatted text preview: Total Variance $1,175 U The balances in the variance accounts are usually closed to the cost of goods sold account, particularly when the amounts are small. Alternatively, the balances in the variance accounts may be allocated to the appropriate inventory accounts and the cost of goods sold account....
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This note was uploaded on 11/16/2011 for the course ACCT 2310 taught by Professor Staff during the Spring '09 term at Texas State.

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