Crystal Company produces glass jars. The unit for costing purposes is a case of $18$ jars. The following standards for producing one case of jars have been established:

Direct materials $(5$ kg @ $$0\mathrm{.}80)$ $ $4$

Direct labour $(1\mathrm{.}5$ hours @ $$16\mathrm{.}00)24$

Standard prime cost $$28$

During December, $52,000$ kilograms of material were purchased and used in production. There were $10,000$ cases produced, with the following actual prime costs:

Direct materials $$40,000$

Direct labour $236,910($for $14,900$ hrs$.)$

Required:

Compute the materials variances.

Compute the labour variances.

What are the advantages and disadvantages that can result from the use of a standard costing system