Need help fro a bean counter please…
We use standard costing. We had a job close with zero standard cost and as a result, our WIP variance was $42,000. I believe a journal entry to correct this would be as follows:
Credit WIP Variance by 42,000
Debit WIP Mtl, Bur, Lbr and Subcontract according to the Actuals in the job cost.
Am I correct?