JHJ PULISHING COMPANY STANDARD COSTING EXAMPLE PROBLEM 3 Assumptions plus actual performance: STANDARD ACTUAL 80,000 80,000 $10 $9.50 VARIABLE COST Quantity to be produced Raw material ink cost Raw material ink usage Raw material paper cost Raw materials paper usage Direct labor 2 cartridges per book 1.95 cartridges per book $4 per ream $5per ream 1 ream 1.25 ream S10 hour $11.00 per hour rate Direct labor 10 books hour 12 books hour hours Required: Calculate and explain the quantity and price variances for JHJ Publishing Company and determine whether a department received a bonus or had to develop a plan of corrective action