During March Manhattan Fabrics Corporation manufactured 1 .000 units of a special multilayer fabric with the trade name Stylex. The following information from the Stylex production department also per tains to March.

The standard prime costs for one unit of Stylex are as follows:

Required: 

Compute the following variances for the month of March, indicating whether each variance is favorable or unfavorable.
1. Direct-material price variance.
2. Direct-material quantity variance.
3. Direct-labor rate variance.
4. Direct-labor efficiency variance.

Transcribed Image Text:

Direct material purchased: 36,000 yards at $1.38 per yard. Direct material used: 19,000 yards at $1.38 per yard Direct labor: 4,200 hours at $9.15 per hour. $49,680 26,220 38,430