1. Hurren Corporation makes a product with the following standard costs:

	Standard Quantity or Hours	Standard Price or Rate	Standard Cost Per Unit
Direct materials	5.5 grams	$4.00 per gram	$22.00
Direct labor	1.8 hours	$20.00 per hour	$36.00
Variable overhead	1.8 hours	$9.00 per hour	$16.20

The company reported the following results concerning this product in June.

Originally budgeted output	5,700	units
Actual output	5,600	units
Raw materials used in production	28,490	grams
Actual direct labor-hours	5,600	hours
Purchases of raw materials	32,900	grams
Actual price of raw materials purchased	$4.10	per gram
Actual direct labor rate	$20.90	per hour
Actual variable overhead rate	$8.70	per hour

The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.

The materials price variance for June is:

$3,290 U

$2,872 F

$3,290 F

$2,872 U

2.

Landram Corporation makes a product with the following standard costs:

	Standard Quantity or Hours	Standard Price or Rate
Direct materials	2.0 kilos	$7.00 per kilo
Direct labor	0.5 hours	$19.00 per hour
Variable overhead	0.5 hours	$5.00 per hour

In March the company produced 4,700 units using 10,230 kilos of the direct material and 2,210 direct labor-hours. During the month, the company purchased 10,800 kilos of the direct material at a cost of $76,680. The actual direct labor cost was $38,233 and the actual variable overhead cost was $11,934.

The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased.

The materials price variance for March is:

$1,080 U

$940 U

$940 F

$1,080 F

3. The following materials standards have been established for a particular product:

Standard quantity per unit of output	4.6	grams
Standard price	$12.00	per grams

The following data pertain to operations concerning the product for the last month:

Actual materials purchased	3,500	grams
Actual cost of materials purchased	$ 40,775
Actual materials used in production	2,800	grams
Actual output	540	units

The direct materials purchases variance is computed when the materials are purchased.

Required:
a.	What is the materials price variance for the month? (Input the amount as a positive value. Leave no cells blank - be certain to enter "0" wherever required. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Omit the "$" sign in your response.)

Materials price variance

$

(Click to select)FUNone

b.

What is the materials quantity variance for the month? (Input the amount a as positive value. Leave no cells blank - be certain to enter "0" wherever required. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Omit the "$" sign in your response.)

Materials quantity variance

$

(Click to select)FUNone

4. The following standards for variable overhead have been established for a company that makes only one product:

Standard hours per unit of output	5.6	hours
Standard variable overhead rate	$14.00	per hour

The following data pertain to operations for the last month:

Actual hours	9,300	hours
Actual total variable overhead cost	$125,110
Actual output	1,650	units

Required:
a.	What is the variable overhead rate variance for the month? (Input the amount as a positive value. Leave no cells blank - be certain to enter "0" wherever required. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Omit the "$" sign in your response.)

Variable overhead rate variance

$

(Click to select)FUNone

b.

What is the variable overhead efficiency variance for the month? (Input the amount as a positive value. Leave no cells blank - be certain to enter "0" wherever required. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Omit the "$" sign in your response.)

Variable overhead efficiency variance

$

(Click to select)FUNone