Flandro Company uses a standard cost system and sets predetermined overhead rates on the basis of direct labor-hours. The following data are taken from the companys budget for the current year:

Denominator activity (direct labor-hours)	15,000
Variable manufacturing overhead cost	$ 44,250
Fixed manufacturing overhead cost	$ 126,750

The standard cost card for the companys only product is given below:

Direct materials, 4 yards at $1.75 per yard	$ 7.00
Direct labor, 2 hour at $9.50 per hour	19.00
Manufacturing overhead, 120% of direct labor cost	22.80
Standard cost per unit	$ 48.80

During the year, the company produced 7,800 units of product and incurred the following costs:

Materials purchased, 49,500 yards at $1.70 per yard	$	84,150
Materials used in production (in yards)		32,200
Direct labor cost incurred, 16,000 hours at $7.85 per hour	$	125,600
Variable manufacturing overhead cost incurred	$	44,550
Fixed manufacturing overhead cost incurred	$	96,800

Direct materials		yards at		per yard
Direct labor		DLHs		per DLH
Variable manufacturing overhead		DLHs		per DLH
Fixed manufacturing overhead		DLHs		per DLH
Standard cost per unit					$0.00

2.	Prepare an analysis of the variances for direct materials and direct labor for the year. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance.

Materials variances:
Price variance
Quantity variance
Labor variances:
Rate variance
Efficiency variance

3.	Prepare an analysis of the variances for variable and fixed overhead for the year. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance.).

Variable overhead variances:
Rate variance
Efficiency variance
Fixed overhead variances:
Budget variance
Volume variance