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PROBLEM 2 1. Superior Company, which started business on April 1, uses a standard cost system in accounting for manufacturing costs. The standard costs for a unit of its product are: Materials: 2 units at P3 per kilo P6.00 Labor: 1 hour at P4 per hour 4.00 Factory overhead: 75% of direct labor cost 3.00 P13.00 Following data were gathered from Superior's records for April: Units produced 5,000 Units sold 4,000 Sales P100,000 Purchases (11,000 kilos) P 38,500 Materials price variance (applicable to April purchases) P550 unfavorable Actual quantity of materials used 10,500 kilos Actual labor hours worked 4,800 hours Direct labor rate vanance P800 favorable Factory overhead total variance P500 unfavorable a. The material quantity variance for April was b. The direct labor efficiency variance for April was c. The actual factory overhead for April was2. Xtra Klean manufactures a cleaning solvent. The company employs both skilled and unskilled workers. Skilled workers class C are paid P12 per hour, while unskilled workers class D are paid P7 per hour. To produce one 55- gallon drum of solvent requires 4 hours of skilled labor and 2 hours of unskilled labor. The solvent requires 2 different materials: A and B. The standard and actual material information is given below: Standard: Material A: 30.25 gallons @ P1.25 per gallon Material B: 24.75 gallons @ P2.00 per gallon Actual: Material A: 10,716 gallons purchased and used @ P1.50 per gallon Material B: 17,484 gallons purchased and used @ P1.90 per gallon Skilled labor hours: 1,950 @ P11.90 per hour Unskilled labor hours: 1,300 @ P7.15 per hour During the current month Xtra Klean manufactured 500 55-gallon drums. (Round all answers to the nearest peso.) a. What is the total material mix variance? b. What is the total material yield variance? C. What is the labor mix variance? d. What is the labor yield variance