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Amber Company produces iron table and chair sets. During October, Ambers costs were as follows: Actual purchase price $ 2.50 per pound Actual direct labor

Amber Company produces iron table and chair sets. During October, Ambers costs were as follows:

Actual purchase price $ 2.50 per pound
Actual direct labor rate $ 7.70 per hour
Standard purchase price $ 2.30 per pound
Standard quantity for sets produced 990,000 pounds
Standard direct labor hours allowed 14,000
Actual quantity purchased in October 1,145,000 pounds
Actual direct labor hours 12,000
Actual quantity used in October 1,020,000 pounds
Direct labor rate variance $5,760 F

Required:

  1. Calculate the total cost of purchases for October.
  2. Compute the direct materials price variance based on the actual quantity purchased.
  3. Calculate the direct materials quantity variance based on the actual quantity used.
  4. Compute the standard direct labor rate for October.
  5. Compute the direct labor efficiency variance for October.

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