The Norris Company Uses a Standard Cost Accounting System and Estimates

The Norris Company uses a standard cost accounting system and estimates production for the year to be 60,000 units.At this volume,the company's variable overhead costs are $0.50 per direct labor hour.The company's single product has a standard cost of $30.00 per unit.Included in the $30.00 is $13.20 for direct materials (3 yards)and $12.00 of direct labor (2 hours).Production information for the month of March follows: $$\begin{array} { | l | r | } \hline \text { Number of units produced } & 6,000 \\\hline \text { Materials purchased (18,500 yards) } & \$ 88,800 \\\hline \text { Materials used in production (yards) } & 18,500 \\\hline \text { Direct labor cost incurred ( } \$ 6.50 / \text { hour) } & \$ 75,400 \\\hline\end{array}$$
Required:
Prepare the journal entries to record the following:
a.Purchase and use of direct materials (Assume materials are used as purchased and no inventory is maintained).b.Recognition of direct labor.