During December, Wards Companys actual costs incurred in the production of 3,000 units were as follows:

Direct labor:	$103,500 ($15 per hour)
Direct material:	$48,000 ($6 per pound)

During December, Wards Companys actual costs incurred in the production of 3,000 units were

as follows:

The standards for one unit of Wards Companys product are as follows:

Direct labor:	Direct material:
Quantity, 1.5 hour per unit	Quantity, 2.25 pounds per unit
Rate, $13.5 per hour	Price, $4.5 per pound

Required:

a. Compute the direct-material price and quantity variances. Indicate whether each variance is favorable or unfavorable. Show your calculations

b. Compute the direct-labor rate and efficiency variances. Indicate whether each variance is favorable or unfavorable. Show your calculations