Huron Company produces a commercial cleaning compound known as Zoom. The direct materials and direct labor standards for one unit of Zoom are given below:

During the most recent month, the following activity was recorded:

1. 22,900.00 pounds of material were purchased at a cost of $2.70 per pound.

2. All of the material purchased was used to produce 3,000 units of Zoom.

3. 1,400 hours of direct labor time were recorded at a total labor cost of $18,200.

Required:

1. Compute the materials price and quantity variances for the month.

2. Compute the labor rate and efficiency variances for the month.

Standard Quantity or Hours 6.80 pounds 0.50 hours Standard Price or Rate $ 3.00 per pound $11.00 per hour Standard Cost $20.40 $ 5.50 Direct materials Direct labor