Becton Labs, Inc., produces various chemical compounds for industrial use. One compound, called Fludex, is prepared using an elaborate distilling process. The company has developed standard costs for one unit of Fludex, as follows: Standard Quantity Standard Price or Rate Standard Cost Direct materials 1.50 ounces $ 7.00 per ounce $ 10.50 Direct labor 0.60 hours $ 12.00 per hour 7.20 Variable manufacturing overhead 0.60 hours $ 3.50 per hour 2.10 $ 19.80 During November, the following activity was recorded relative to production of Fludex:

a. Materials purchased, 8,900 ounces at a cost of $55,180.

b. There was no beginning inventory of materials; however, at the end of the month, 2,450 ounces of material remained in ending inventory.

c. The company employs 12 lab technicians to work on the production of Fludex. During November, they worked an average of 150 hours at an average rate of $12.50 per hour.

d. Variable manufacturing overhead is assigned to Fludex on the basis of direct labor-hours. Variable manufacturing overhead costs during November totaled $5,500.

e. During November, 3,800 good units of Fludex were produced .

Required: 1. For direct materials: a. Compute the price and quantity variances. (Round your "price per ounce" answers to 2 decimal places. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance).)

____________ - _____________ X ______________ = Variance

MATERIAL PRICE VARIANCE ___________ _____________ ________________ 0 _________

__________ - _____________ X _________________ = Variance

MATERIAL QUANTITY VARIANCE ________ ____________ ___________________= 0 __________

ALL questions are in a chat like the one exactly above!!!!!! EX. #2 LABOR RATE VARIANCE, LABOR EFFICENCY VARIANCE EX 3. VARIANCE OVERHEAD RATE VARIANCE, VARIABLE OVERHEAD EFFIENCY VARIANCE

b. The materials were purchased from a new supplier who is anxious to enter into a long-term purchase contract. Would you recommend that the company sign the contract? yes or no

2. For direct labor: a. Compute the rate and efficiency variances. (Round your "rate per hour" answers to 2 decimal places. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance).)

b. In the past, the 12 technicians employed in the production of Fludex consisted of 5 senior technicians and 7 assistants. During November, the company experimented with fewer senior technicians and more assistants in order to save costs. Would you recommend that the new labor mix be continued? Yes or no?

3. Compute the variable overhead rate and efficiency variances. (Round your "rate per hour" answers to 2 decimal places. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance).)