INSTRUCTIONS: Prepare the variances and identify whether they are favorable or unfavorable. The below website will provide further assistance with variances: http://accounting-simplified.com/management/variance-analysis/material/price.html DATA FOR VARIANCE ANALYSIS: "Standard Hours / Qty" "Standard Rate" "Actual Hours / Qty" "Actual Rate" Grooming Labor 150 $12.00 180 $11.50 Grooming Materials 1,000 $2.00 1,200 $3.00 Variance "Favorable/ Unfavorable" Groomer Direct Labor Time Variance (Actual Hours - Standard Hours) x Standard Rate $- Groomer Direct Labor Time Variance (Actual Rate - Standard Rate) x Actual Hours $- Groomer Direct Labor Time Variance (Actual Quantity - Standard Quantity) x Standard Price $- Groomer Direct Labor Time Variance (Actual Price - Standard Price) x Actual Quantity $- For your variance analysis, use the following financial data: Direct Materials/Labor Original Projection Actual Shampoo 1000 ounces ($2/groom) 1200 ounces ($3/groom) Grooming Labor 1.5 hrs/groom @ $12 2.25 hrs/groom @ $11.50