Information on Grand Corporations direct materials costs follows.

Quantities of chemical Y purchased and used		19,500	gallons
Actual cost of chemical Y used	$	426,500
Standard price per gallon of chemical Y	$	22.80
Standard quantity of chemical Y allowed		17,900	gallons

Grand Corporation has no materials inventories.

Required:

a. What were Grand Corporations direct materials price and efficiency variances?

Direct materials price variance
Direct materials efficiency variance

b. (Appendix) Prepare the journal entries to record the purchase and use of chemical Y using standard costing.