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Ahlia Company developed standard costs for direct material and direct labor. In 2021, Ahlia estimated the following standard costs for one of their major products,

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Ahlia Company developed standard costs for direct material and direct labor. In 2021, Ahlia estimated the following standard costs for one of their major products, the 10 -gallon plastic container. During June, Ahlia produced and sold 5,000 containers using 490 pounds of direct materials at an average cost per pound of $30 and 250 direct manufacturing laborhours at an average wage of $15.25 per hour. Instructions: 1. Compute the direct materials price variance. (2 marks) 2. Compute the direct manufacturing labor efficiency variance. ( 2 marks)

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