Variance analysis, material, and labor The following information is available for job K37 for Mandalay Company:

(a) Determine the material price variance and use variance.

(b) Determine the direct labor rate variance and efficiency variance.(LO 1)

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Actual Materials: Direct labor: Units produced: Standard Materials: Direct labor: 10,500 pounds purchased at $2.50 per pound 1800 hours at $12 per hour 500 20 pounds per unit at a price of $2.20 per pound 4 hours per unit at a wage rate of $10 per hour