Direct Labor and Direct Materials Variances, Journal Entries Samson Company produces paper towels. The company has established the following direct materials and direct labor standards for one case of paper towels Paper pulp (4 lbs. $0.30) $1.20 Labor (1.8 hrs. $18) 32.40 Total prime cost $33.60 During the first quarter of the year, Samson produced 40,000 cases of paper towels. The company purchased and used 160,300 pounds of paper pulp at $0.27 per pound. Actual direct labor ned was 80,000 hours at $18.20 per hour. Required: Instructions for parts 1 and 21 3 variance is zero, enter "o" and select "Not applicable" from the drop down box. 1. Calculate the direct material price and usage variances Materials Price Variance Materials Usage Variance 2. Calculate the direct laborate and efficiency wariances Laborate Variance Labor fidency variance II LI 3. Prepare the journal entries for (1) the direct materiais price variance, (2) the direct materials usage variance, and (3) the direct sabor variances. If an amount box does not require an entry, leave it blank. 1. 2. HII III HII III 110