1.Kopecky Inc., which produces a single product, has prepared the following standard cost sheet for one unit of the product:

	Per unit
Direct materials (6 kg at $2.50 per kg)	$15.00
Direct labour (3.1 hrs at $12 per hr)	$37.20

During the month of April, the company manufactures 250 units and incurs the following actual costs:

Direct materials purchased and used (1,600 kgs)	$4,192
Direct labour (760 hours)	$8,740

1. Calculate the price and quantity variances for direct materials, as well as the total variance. Make sure you indicate if the variances are favourable or unfavourable.

2. Calculate the rate and efficiency variances for direct labour, as well as the total variance. Make sure you indicate if the variances are favourable or unfavourable.