Orion Corporation has established the following standards for the prime costs of one unit of its chief product, dartboards.

Standard Quantity Standard Price or Rate Standard Cost

Direct material..................... 8 pounds...............$1.75 per pound.............$14.00

Direct labor........................... .25 hour..................$8.00 per hour...............2.00

Total................................................................................................................... $16.00

During June, Orion purchased 160,000 pounds of direct material at a total cost of $304,000. The total wages for June were $42,000, 90 percent of which were for direct labor. Orion manufactured 19,000 dartboards during June, using 142,500 pounds of the direct material purchased in June and 5,000 direct-labor hours.

Required:

Compute the following variances for June, and indicate whether each is favorable or unfavorable.

1. The direct-material price variance.

2. The direct-material quantity variance.

3. Direct-material purchase price variance.

4. The direct-labor rate variance.

5. The direct-labor efficiency variance.