1, Huron Company produces a commercial cleaning compound known as Zoom. The direct materials and direct labor standards for one unit of Zoom are given below:

	Standard Quantity or Hours		Standard Price or Rate			Standard Cost
Direct materials	4.6	pounds	$	2.50	per pound	$	11.50
Direct labor	0.2	hours	$	18.00	per hour	$	3.60

During the most recent month, the following activity was recorded:

Twenty thousand pounds of material were purchased at a cost of $2.35 per pound.

All of the material purchased was used to produce 4,000 units of Zoom.

750 hours of direct labor time were recorded at a total labor cost of $14,925.

Required:

1. Compute the materials price and quantity variances for the month.

2. Compute the labor rate and efficiency variances for the month.

(For all requirements, Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

2, Huron Company produces a commercial cleaning compound known as Zoom. The direct materials and direct labor standards for one unit of Zoom are given below:

	Standard Quantity or Hours		Standard Price or Rate			Standard Cost
Direct materials	4.6	pounds	$	2.50	per pound	$	11.50
Direct labor	0.2	hours	$	18.00	per hour	$	2.40

During the most recent month, the following activity was recorded:

Twenty thousand pounds of material were purchased at a cost of $2.35 per pound.

The company produced only 3,000 units, using 14,750 pounds of material. (The rest of the material purchased remained in raw materials inventory.)

750 hours of direct labor time were recorded at a total labor cost of $14,925.

Required:

Compute the materials price and quantity variances for the month. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

3,

Huron Company produces a commercial cleaning compound known as Zoom. The direct materials and direct labor standards for one unit of Zoom are given below:

	Standard Quantity or Hours		Standard Price or Rate			Standard Cost
Direct materials	4.6	pounds	$	2.50	per pound	$	11.50
Direct labor	0.2	hours	$	18.00	per hour	$	2.40

During the most recent month, the following activity was recorded:

Twenty thousand pounds of material were purchased at a cost of $2.35 per pound.

The company produced only 3,000 units, using 14,750 pounds of material. (The rest of the material purchased remained in raw materials inventory.)

750 hours of direct labor time were recorded at a total labor cost of $14,925.

Required:

Compute the materials price and quantity variances for the month. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

4, Dawson Toys, Ltd., produces a toy called the Maze. The company has recently established a standard cost system to help control costs and has established the following standards for the Maze toy:

Direct materials: 6 microns per toy at $1.50 per micron

Direct labor: 1.3 hours per toy at $21 per hour

During July, the company produced 3,000 Maze toys. The toy's production data for the month are as follows:

Direct materials: 25,000 microns were purchased at a cost of $1.48 per micron. 5,000 of these microns were still in inventory at the end of the month.

Direct labor: 4,000 direct labor-hours were worked at a cost of $88,000.

Required:

1. Compute the following variances for July: (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

a. The materials price and quantity variances.

b. The labor rate and efficiency variances.