Refer to Exercise 9-6. Verde Sabor purchased the amount used of each direct material input on March 2 for the following actual prices, tomatoes, $0.025 per ounce and chili peppers, $0.024 per ounce.

Required:

1. Compute and journalize the direct materials price variances.

2. Compute and journalize the direct materials usage variances.

3. Offer some possible reasons for why the variances occurred.