Highland Company produces a lightweight backpack that is popular with college students. Standard variable costs relating to a single backpack are given below:

	Standard Quantity or Hours	Standard Price or Rate	Standard Cost
Direct materials	?	$8.00 per yard	$ ?
Direct labor	?	?	?
Variable manufacturing overhead	?	$2 per direct labor-hour	?
Total standard cost			$?

Overhead is applied to production on the basis of direct labor-hours. During March, 610 backpacks were manufactured and sold. Selected information relating to the months production is given below,

	Materials Used	Direct Labor	Variable Manufacturing Overhead
Total standard cost allowed*	$14,640	$10,065	$1,830
Actual costs incurred	$13,650	?	$2,011
Materials price variance	?
Materials quantity variance	$ 960 U
Labor rate variance		?
Labor efficiency variance		?
Variable overhead rate variance			?
Variable overhead efficiency variance			?

*For the month's production.

The following additional information is available for Marchs production:

Actual direct labor-hours	960
Standard overhead rate per direct labor-hour	$2.00
Difference between standard and actual cost per backpack produced during March	$0.20	F

Required:

1.

What is the standard cost of a single backpack?

Standard cost for March production:
Materials
Direct labor
Variable manufacturing overhead
Total standard cost
Number of backpacks produced
Standard cost of a single backpack

2.

What was the actual cost per backpack produced during March? (Round your answers to 2 decimal places.)

Standard cost of a single backpack
Deduct difference between standard and actual cost
Actual cost per backpack

3.

How many yards of material are required at standard per backpack?

Total standard cost of materials allowed during March
Number of backpacks produced during March
Standard materials cost per backpack
Standard materials cost per yard
Number of yards per backpack

4.

What was the materials price variance for March if there were no beginning or ending inventories of materials? (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance).)

Materials price variance
Materials quantity variance
Spending variance

5.	What is the standard direct labor rate per hour?

Standard variable manufacturing overhead cost for March
Standard variable manufacturing overhead rate per direct labor-hour
Standard direct labor-hours for March
Standard direct labor cost for March
Standard direct labor rate per hour

6.

What was the labor rate variance for March? The labor efficiency variance? (Do not round your intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance))

Labor rate variance
Labor efficiency variance

7.

What was the variable overhead rate variance for March? The variable overhead efficiency variance? (Do not round intermediate calculations. 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 rate variance
Variable overhead efficiency variance

8.

Prepare a standard cost card for one backpack. (Round your answers to 2 decimal places.)

	Standard Quantity or Hours			Standard Price or Rate		Standard Cost
Direct materials		yards		$8.00	per yard
Direct labor		hours			per hour
Variable manufacturing overhead		hours		$2.00	per direct labor-hour
Total standard cost