The Koski Company has established standards as follows
direct material.........3pounds @ $4/pound=$12 per unit
direct labor.............2hours @ $8/hour=$16 per unit
Variable overhead.....2hours @ $5/hour=$10 per unit
Actual production figures for the past year:
units produced...........................500
direct material used.....................1,600 pounds
direct material purchased (3,000).....$12,300
direct labor cost (950 hours)...........$7,5790
variable overhead cost incurred.......$4,655
1. The materials price variance is:
2. The materials quantity variance is:
3. The labor rate variance is:
4. The labor efficiency variance is:
5. The variable overhead rate variance is:
6. The variable overhead efficiency variance is: