8) Price and Quantity Variances 8a) In conjunction with the budgeting process, ADC has developed standard costs for various items such as direct labor, direct materials, and manufacturing overhead. Listed Below are the compensation rates for the two classes of ADC factory workers. Direct Labor Standard Cost Hourly Wage Employer Social Security Employer FUTA and SUTA Workman's Compensation Medical Insurance 401K Contribution Total Hourly Standard Cost Apprentice Journeyman $ 10.00 $ 30.00 0.80 $ 2.10 0.50 $ 1.50 0.35 $ 0.50 $ 0.75 $ 0.90 $ - $ 5.00 $ 12.40 $ 40.00 8a) Calculate the total labor variance for the Redwood Congas - 100 Drums. Total Labor Variance Direct Labor Apprentice Journeyman Redwood Congas - 100 drums Actual Standard Standard Price / hr Quantity (hrs) Price/hr 11.90 125 41.00 sol Actual Quantity (hrs) 120 $ 56 $ |8b) Dissect the Total Labor Variances into the Labor Quantity and Labor Price Variances. American Drum Company F(U) | Actual Q. Actual P Actual Q Standard P Price Variance Actualq Standard P Standard Q Standard P | T F(U) Quantity Variance F (U) Total Labor Variance Apprent. Journey. |8c) What are some possible reasons why the Price Variance is over / under budget? 8d) What are some possible reasons why the Quantity Variance is over / under budget