Martin, Inc. is a manufacturer of lead crystal glasses. The standard direct materials quantity is 1.0 pound per glass at a cost of $0.50 per pound. The actual result for one months production of 6,500 glasses was 1.2 pounds per glass, at a cost of $0.30 per pound. The standard direct labor time is 0.5 hours per glass, at a cost of $18 per hour. The actual results for one months production of 6,500 glasses were 0.2 hours per glass, at a cost of $11 per hour. 1- Calculate the direct materials cost variance and the direct materials efficiency variance.

2- Calculate the direct labor cost variance and the direct labor efficiency variance.

3- For each variance, who in Martins organization is most likely responsible?

4- Interpret the direct materials and direct labor variances for Martins management.