PB24-5 Calculating Direct Material, Direct Labor, Variable Manufacturing Overhead, and Fixed Manufacturing Overhead Variances Easy Roller, Inc., manufactures plastic mats for use with rolling office chairs. Its standard cost information for last year follows. Standard Quantity Standard Price (Rate) Standard Unit Cost Direct costs Plastic 12 sq ft. $ 0.75 per sq. ft. $9.00 Direct labor .25 hr. $12.00 per hr. 3.00 Variable manufacturing overhead $ 1.20 per direct labor hour 0.30 Fixed manufacturing overhead ($360,000 / 900,000 units) 0.40 Easy Roller had the following actual results for the past year. Number of units produced and sold 1,000,000 Number of square feet of plastic used 11,800,000 Cost of plastic purchased and used $ 8,260,000 Number of labor hours worked 245,000 Direct labor cost $ 2,891,000 Variable overhead cost $ 318,500 Fixed overhead cost $ 355,000 Required: 1. Calculate Easy Roller’s direct materials variances. 2. Calculate Easy Roller’s direct labor variances. 3. Compute Easy Roller’s variable overhead rate and efficiency variances and its over- or underapplied variable overhead. 4. Compute Easy Roller’s fixed overhead spending and volume variances and its over- or underapplied fixed overhead.