Material Variances Harmon Household Products, Inc. manufactures a number of consumer items for general household use. One of these products, a chopping board, requires an expensive hardwood. During a recent month, the company manufactured 4,000 chopping boards. The firm purchased and used 11,000 board feet of hardwood. The hardwood cost the company $18,700. The companys standards for one chopping board are 2.5 board feet of hardwood, at a cost of $1.80 per board foot.

Required:

1. What cost for wood should have been incurred to make 4,000 chopping blocks?

2. Compute the materials price variance, the materials quantity variance and the total flexible budget variance.