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Outdoor Company manufactures camping tents from a lightweight synthetic fabric. Each tent has a standard materials cost of $21, consisting of 4 yards of fabric

Outdoor Company manufactures camping tents from a lightweight synthetic fabric. Each tent has a standard materials cost of $21, consisting of 4 yards of fabric at $5.25 per yard. The standards call for 2 hours of assembly at $10 per hour. The following data were recorded for October, the first month of operations:

Fabric purchased 9,000 yards x $ 5.00 per yard
Fabric used in production of 1,700 tents 7,000 yards
Direct labor used 3,600 hours x $10.75 per hour

(a) Compute all standard cost variances for materials and labor.

Materials price variance (usage basis) $Answerimage text in transcribed

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Materials price variance (purchase basis) $Answerimage text in transcribed

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Materials quantity variance $Answerimage text in transcribed

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Labor rate variance $Answerimage text in transcribed

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