On May 1, 20XX, Bovar Company began the manufacture of a new mechanical device known as "Dandy." The company installed a standard cost system in accounting for manufacturing costs. The standard costs for a unit of "Dandy" are as follows:

The amount shown above for material price variance is applicable to raw material purchased during May.
Compute each of the following items for Bovar for the month of May. Show computations in good form.

(a) Standard quantity of raw materials allowed (in pounds).

(b) Actual quantity of raw materials used (in pounds).

(c) Standard hours allowed.

(d) Actual hours worked.

(e) Actual direct labor rate.

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Raw materials.....6 lbs. @ $1 per lb. Direct labor........... 1 hour @ $4 per hour Overhead. $ 6.00 4.00 .75% of direct labor costs 3.00 $13.00 The following data were obtained from Bovar's records for the month of May: Units Actual production of "Dandy".. 4,000 Units sold of "Dandy". 2,500 Debit Credit Sales $50,000 Purchases (26,000 pounds). $27,300 Material price variance. 1,300 Material quantity variance.... 1,000 Direct labor rate variance.. 760 Direct labor usage variance 800