Barley Hopp, Inc Journal Entries

Barley Hopp, Inc Journal Entries.

Barley Hopp, Inc., manufactures custom-ordered commemorative beer steins. Its standard cost information follows:


Standard Price
Unit Cost
Direct materials (clay) 2.1 lbs. $ 1.20 per lb. $ 2.52
Direct labor 2.2 hrs. $ 11.00 per hr. 24.20
Variable manufacturing overhead
(based on direct labor hours)
2.2 hrs. $ 1.40 per hr. 3.08
Fixed manufacturing overhead ($281,120 ÷ 112,000 units) 2.51


Barley Hopp had the following actual results last year:


Number of units produced and sold 106,000
Number of pounds of clay used 242,600
Cost of clay $ 266,860
Number of labor hours worked 213,200
Direct labor cost $ 2,792,920
Variable overhead cost $ 405,080
Fixed overhead cost $ 250,000




1., 2., & 3. Prepare the journal entry to record the direct materials, direct labor, variable overhead costs and related variances for Barley Hopp. Assume the company purchases raw materials as needed and does not maintain any ending inventories. (If no entry is required for a transaction/event, select “No Journal Entry Required” in the first account field.)

Barley Hopp, Inc Journal Entries


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