Calculation of materials and labor variances Petersen Corp. manufactures and sells a single product. The company uses a standard cost system. The standard cost per unit of product follows: Materials-1 lb plastic @ $3.00 $ 3.00 Direct labor-1.6 hr $10.00.. 16.00 (8000 HRS). The charges to the manufacturing department for Novem- ber, when 5,000 units were produced, follow. Materialo-5,300 Direct labor-8.200 hr $9.80 The Purchasing department normally buys about the same quantity as is used in production during a month. In November, Seo lb were purchased at a price of $2.90 per pound. Required: Calculate the following variances from standard osts for the data given 1. Materiais quantity. 2. Materials purchase price (at time of purchase). 3. Labor efficiency. 4 Labor rate