Develop standard costs for Boeing's aircraft models, incorporating direct materials, direct labor, and variable overhead costs.

Cost Element	Model 737 ($)	Model 787 ($)
Direct Materials	100,000	200,000
Direct Labor	50,000	80,000
Variable Overhead	20,000	30,000

Calculate the labor and materials price and efficiency variances for both models based on actual and standard costs.

Model	Labor Variance ($)	Materials Variance ($)
Model 737	10,000 favorable	5,000 unfavorable
Model 787	8,000 favorable	7,000 favorable

3. Perform a comprehensive performance evaluation by comparing actual costs against standard costs for production volumes.
4. Recommend operational improvements and cost control measures based on the variance analysis to enhance profitability.