The Geurtz Company uses standard costing. The company makes and sells a single product called a Roff. The following data are for the month of August:
• Actual cost of direct material purchased and used: $58,300
• Material price variance: $3,300 unfavorable
• Total materials variance: $22,800 unfavorable
• Standard cost per pound of material: $5
• Standard cost per direct labor-hour: $5
• Actual direct labor-hours: 2,950 hours
• Labor efficiency variance: $3,000 favorable
• Standard number of direct labor-hours per unit of Roff: 1 hours
• Total labor variance: $1,820 favorable