Inman Corporation manufactures a single product. The standard cost per unit of product is as follows:

Direct materials2 kg of plastic at $5.20 per kilogram		$10.40
Direct labour2 hours at $11.25 per hour		22.50
Variable manufacturing overhead		8.55
Fixed manufacturing overhead		5.45
Total standard cost per unit		$46.90

The master manufacturing overhead budget for the month based on the normal productive capacity of 20,000 direct labour hours (10,000 units) shows total variable costs of $80,000 ($4 per labour hour) and total fixed costs of $60,000 ($3 per labour hour). Normal production capacity is 20,000 direct hours. Overhead is applied based on direct labour hours. Actual costs for producing 9,760 units in November were as follows:

Direct materials (20,500 kg)		$104,550
Direct labour (19,520 hours)		223,504
Variable overhead		78,000
Fixed overhead		59,000
Total manufacturing costs		$465,054

The purchasing department normally buys the quantities of raw materials that are expected to be used in production each month. Raw materials inventories, therefore, can be ignored.

Calculate all of the materials and labour variances. (Round intermediate calculations to 2 decimal places, e.g. 1.25 and final answers to 0 decimal places, e.g. 125.)

Total materials variance		$	Favourable Unfavourable Neither favourable nor unfavourable
Materials price variance		$	Neither favourable nor unfavourable Favourable Unfavourable
Materials quantity variance		$	Unfavourable Neither favourable nor unfavourable Favourable

Total labour variance		$	Unfavourable Neither favourable nor unfavourable Favourable
Labour price variance		$	Neither favourable nor unfavourable Favourable Unfavourable
Labour quantity variance		$	Favourable Neither favourable nor unfavourable Unfavourable

Calculate the total overhead variance.

Total overhead variance

$

Unfavourable Favourable Neither favourable nor unfavourable

Calculate the overhead budget variance and the overhead volume variance.

Overhead budget variance		$	UnfavourableFavourableNeither favourable nor unfavourable
Overhead volume variance		$	Unfavourable Favourable Neither favourable nor unfavourable

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