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price and Usage Variances-DIRECT LABOR DXFCISE 4: Use the following data to determine a price and usage variance for Direct Labor: Note that Bettis "expected" to use 1.00 labor hour per unit of product (barrel). Once again, remember the definition of Standard Quantity. Standard Quantity = The amount we SHOULD have used for the ACTUAL quantity produced. So, Bettis expected to use a total of 8,200 hours of DL to produce 8,200 units (barrels). Calculate the Price Variance and Usage Variance. BE SURE TO USE CORRECT STANDARD QUANTITY IN THE RIGHT COLUMN. Also. label the variances as either Favorable (F) or Unfavorable (U)