Information for a companys production activities for this year follows.

Standard quantity and price per unit for direct materials	3	pounds at $4.00 per pound
Standard quantity and rate per unit for direct labor	2	hours at $46.00 per hour
Actual direct materials used	36,000	pounds at $4.05 per pound
Actual direct labor used	19,500	hours at $46.10 per hour
Actual units produced	10,000	units

AH = Actual Hours	AQ = Actual Quantity
SH = Standard Hours	SQ = Standard Quantity
AR = Actual Rate	AP = Actual Price
SR = Standard Rate	SP = Standard Price

Part 1. Calculate the direct materials price and quantity variances. Indicate whether each is favorable or unfavorable.

Note: Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.

Actual Cost	0		0	Standard Cost
	$0	0	$0
	$0
	$0

Part 2. Calculate the direct labor rate and efficiency variances. Indicate whether each is favorable or unfavorable.

Note: Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.

Actual Cost	0		0	Standard Cost
	$0	0	$0
	$0
	$0