Fanning Manufacturing Company produces a component part of a top secret military communication device. Standard production and cost data for the part, Product X, follow:

Planned production		20,000	units
Per unit direct materials		1.90	pounds	@	$	2.50	per pound
Per unit direct labor		2.70	hours	@	$	7.10	per hour
Total estimated fixed overhead costs	$	460,000

Fanning purchased and used 41,070 pounds of material at an average cost of $2.55 per pound. Labor usage amounted to 52,580 hours at an average of $7.19 per hour. Actual production amounted to 20,800 units. Actual fixed overhead costs amounted to $494,000. The company completed and sold all inventory for $1,920,000.

Required

Prepare a materials variance information table showing the standard price, the actual price, the standard quantity, and the actual quantity.

Calculate the materials price and usage variances. Indicate whether the variances are favorable (F) or unfavorable (U).

Prepare a labor variance information table showing the standard price, the actual price, the standard hours, and the actual hours.

Materials Variance Information Table
Standard price		per pound
Actual price		per pound
Standard quantity for flexible budget		pounds
Actual quantity used		pounds

Price variance
Usage variance

Labor Variance Information Table
Standard price		per hour
Actual price		per hour
Standard hours for flexible budget
Actual hours used