Mackinaw Inc. processes a base chemical into plastic. Standard costs and actual costs for direct materials, direct labor, and factory overhead incurred for the manufacture of 4,400 units of product were as follows:

Standard Costs		Actual Costs
Direct materials	5,700 lb. at $5.80		5,600 lb. at $5.70
Direct labor	1,100 hrs. at $18.10		1,130 hrs. at $18.30
Factory overhead	Rates per direct labor hr.,
	based on 100% of normal
	capacity of 1,150 direct
	labor hrs.:
		Variable cost, $4.80	$5,230 variable cost
		Fixed cost, $7.60	$8,740 fixed cost

Each unit requires 0.25 hour of direct labor.

a. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.

Direct materials price variance	$	Favorable Unfavorable
Direct materials quantity variance		Favorable Unfavorable
Total direct materials cost variance	$	Favorable Unfavorable

b. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.

Direct labor rate variance	$	Favorable Unfavorable
Direct labor time variance		Favorable Unfavorable
Total direct labor cost variance	$	Favorable Unfavorable

c. Determine variable factory overhead controllable variance, the fixed factory overhead volume variance, and total factory overhead cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.

Variable factory overhead controllable variance	$	Favorable Unfavorable
Fixed factory overhead volume variance		Favorable Unfavorable
Total factory overhead cost variance