1. Halifax Company produces several products in its factory, including a karate robe. The company uses a standard cost system to assist in the control of costs. According to the standards that have been set for the robes, the factory should work 780 direct labor-hours each month and produce 1,950 robes. The standard costs associated with this level of production are as follows:

	Total	Per Unit of Product
Direct materials	$35,490	$18.20
Direct labor	$7,020	3.60
Variable manufacturing overhead (based on direct labor-hours)	$2,340	1.20
		$23.00

During April, the factory worked only 760 direct labor-hours and produced 2,000 robes. The following actual costs were recorded during the month:

	Total	Per Unit of Product
Direct materials (6,000 yards)	$36,000	$20
Direct labor	$8,000	$4
Variable manufacturing overhead	$3,800	$2
		$26

At standard, each robe should require 2.8 yards of material. All of the materials purchased during the month were used in production.

Compute the following variances for April:

1. The materials price variance (04 marks)

The quantity variance (04 marks