Genola Fashions began production of a new product on June 1. The company uses a standard cost system and has established the following standards for one unit of the new product:

	Standard Quantity or Hours		Standard Price or Rate		Standard Cost
Direct materials	2.5	yards	$14	per yard	$35.00
Direct labor	1.6	hours	$ 8	per hour	$12.80

During June, the following activity was recorded for the new product:

a.	Purchasing acquired 10,000 yards of material at a cost of $13.80 per yard.
b.	Production used 8,000 yards of the material to manufacture 3,000 units of the new product.
c.	Production reported that 5,000 direct labor-hours were worked on the new product at a cost of $43,000.