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

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.

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Direct material Direct labor Total Standard Quantity Standard Price or Rate Standard Cost $14.00 8 pounds $1.75 per pound .25 hour $8.00 per hour 2.00 $16.00