(Direct material variances) Belichick Patio makes wrought iron table and chair sets. During April, the purchasing agent bought 12,800 pounds of scrap iron at $0.89 per pound. During the month, 10,700 pounds of scrap iron were used to produce 300 table and chair sets. Each set requires a standard quantity of 35 pounds at a standard cost of $0.85 per pound.

a. For April, compute the direct material price variance (based on the quantity purchased) and the direct material quantity variance.

b. Identify the titles of individuals in the firm who would be responsible for each of the variances.

C. Provide some possible explanations for the variances computed in part (a).

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