Chapter 08 Flexible Budgets, Standard Costs, and Variance Analysis
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I. Appendix 8B: General Ledger Entries to Record
Variances (Slide #1 is the title slide)
A. Glacier Peak Outfitters – revisited
i. Direct materials variances
1. The entry to record the purchase of direct
ii. Direct labor variances
iii. Cost flows in a standard cost system
1. The entries into the various accounts are
made at standard cost – not actual cost.
2. The differences between actual and standard
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