Sinclair Manufacturing Uses a Standard Cost System $$\begin{array} { c } \text { Manufacturing overhead } \\\hline\begin{array}{l|l}95,000 \\&93,000\end{array}\end{array}$$

Essay

Sinclair Manufacturing uses a standard cost system.The T-account for manufacturing overhead is shown below:
$$\begin{array} { c } \text { Manufacturing overhead } \\\hline\begin{array}{l|l}95,000 \\&93,000\end{array}\end{array}$$ In addition to the above,Sinclair calculated the following overhead variances:
Variable overhead cost variance: $5,000 F
Variable overhead efficiency variance: $4,850 U
Fixed overhead cost variance: $1,200 F
Fixed overhead volume variance: $3,350 U
Prepare the journal entry to close the manufacturing overhead account and record the overhead variances.