1. The Schlosser Lawn Furniture Company uses 12 meters of aluminum pipe at P0.80 per meter as standard for the production of its Type A lawn chair. During one month's operations, 100,000 meters of the pipe were purchased at P0.78 a meter, and 7,200 chairs were produced using 87,300 meters of pipe. The material's price variance is recognized when materials are purchased.

Require:

Calculate an accurate materials price and quantity variances.

2. A company has a normal capacity of 100 machines working 8 hours per day of 25 days in a month. The budgeted fixed overheads of a month are P150,000. The Standard time required to manufacture one unit of products is 4 hours. In a particular month, the company worked for 24 days of 750 machine hours per day and produced 4,500 units of the product. The actual fixed overheads incurred were P145,000.

Calculate the following accurately:

a. Efficiency Variance

b. Capacity variance

c. Volume Variance

d. Total Fixed Overhead Variance