(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	6.90	pounds	$	2.60	per pound	$	17.94
Direct labor	0.30	hours	$	7.00	per hour	$	2.10

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

1. Nineteen thousand two hundred and fifity pounds of material were purchased at a cost of $2.40 per pound.

2. All of the material purchased was used to produce 2,500 units of Zoom.

3. 450 hours of direct labor time were recorded at a total labor cost of $4,500.

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. Round your intermediate calculations to the nearest whole dollar.)

(2.)

The Gourmand Cooking School runs short cooking courses at its small campus. Management has identified two cost drivers it uses in its budgeting and performance reportsthe number of courses and the total number of students. For example, the school might run two courses in a month and have a total of 60 students enrolled in those two courses. Data concerning the companys cost formulas appear below:

	Fixed Cost per Month		Cost per Course		Cost per Student
Instructor wages			$	2,930
Classroom supplies					$	260
Utilities	$	1,220	$	80
Campus rent	$	4,700
Insurance	$	2,400
Administrative expenses	$	3,900	$	40	$	5

For example, administrative expenses should be $3,900 per month plus $40 per course plus $5 per student. The companys sales should average $860 per student.

The company planned to run four courses with a total of 60 students; however, it actually ran four courses with a total of only 54 students. The actual operating results for September appear below:

	Actual
Revenue	$	48,700
Instructor wages	$	11,000
Classroom supplies	$	15,450
Utilities	$	1,950
Campus rent	$	4,700
Insurance	$	2,540
Administrative expenses	$	3,786

Required:

1. Prepare the companys planning budget for September.

2. Prepare the companys flexible budget for September.

3. Calculate the revenue and spending variances for September.