Gosford Company Had the Following Journal Entries Recorded for the End

Essay

Gosford Company had the following journal entries recorded for the end of June.Unfortunately,the company's only accountant quit on 10 July and the CEO is at a loss as to the company's performance for the month of June.
$\begin{array}{llr} \text { Materials Control} &150000\\ \text { Direct Materials Price Variance} &&5000\\ \text { Accounts Payable Control } &&145000\\\\\text { Work-in-Process Control } & 60000 \\\text { Direct Materials Efficiency Variance } & 4000 \\\text { Materials Control } &&64000\\\\ \text {Work-in-Process Control } &425000\\ \text { Direct Manufacturing Labour Price Variance } &7500\\ \text { Direct Manufacturing Labour Efficiency Variance } &&9000\\ \text { Wages Pavable Control } &&423500\\\end{array}$

Required:
a.What kind of performance did the company have for June? Explain each variance.
b.Why is Direct Materials given in two entries?
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