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Chapter 23 Evaluating Variances from Standard Costs 1165 PR 23-3B analysis Direct materials, direct labor, and factory overhead cost variance materials ce, OBJ. 3,4 tires were as follows: 2. el Direct materials Standard Costs Actual Costs 100,000 lb. at $6.40 Direct labor 101,000 lb. at $6.50 2,080 hrs. at $15.75 2,000 hrs. at $15.40 Factory overhead Rates per direct labor hr., based on 100% of normal capacity of 2,000 direct labor hrs.: Variable cost, $4.00 $8,200 variable cost Fixed cost, $6.00 $12,000 fixed cost Each tire requires 0.5 hour of direct labor. Instructions Determine (a) the direct materials price variance, direct materials quantity variance, and total direct materials cost variance; (b) the direct labor rate variance, direct labor time vari- ance, and total direct labor cost variance; and (c) the variable factory overhead controllable variance, fixed factory overhead volume variance, and total factory overhead cost variance. Road Gripper Tire Co. manufactures automobile tires. Standard costs and actual costs for