Pharoah Manufacturing Company uses a standard cost system in accounting for the cost of its main product. The following standardsPharoah Manufacturing Company uses a standard cost system in accounting for the cost of its main product. The following standards

have been established for the direct manufacturing costs per unit:

Budgeted overhead for the month of April $($based on expected activity of $10,800$ direct labour hours$)$ is as follows:

Overhead is applied based on labour hours. The average activity per month is $11,700$ direct labour hours. The company calculates

overhead rates based on average activity. Results for the month of April are as follows:

There was no beginning or ending work in process inventory.

$($a$)$

Calculate the direct materials price, usage, and budget variances.

Direct materials price variance

Direct materials usage variance

Total materials budget variance

have been established for the direct manufacturing costs per unit:

Direct materials $(2$ kg at $$7\mathrm{.}50$ per kilogram$)$

DireE abour Ihours a S$1?$ per hour $$15\mathrm{.}00$ per unit

$$36\mathrm{.}00$ per unit

Budgeted overhead for the month of April $($based on expected activity of $10,800$ direct labour hours$)$ is as follows:

DVarianie overhead

Fixed overhead

Total overhead

$$35\mathrm{.}100$

$23\mathrm{.}400$

$$58\mathrm{.}500$

Overhead is applied based on labour hours. The average activity per month is $11,700$ direct labour hours. The company calculates overhead rates based on average activity. Results for the month of April are as follows:

Units produced

Direct materials used $(7\mathrm{.}800$ kg$)$

Directamour $400$ hoursi

Variable overhead

Fixed overhead

Total costs

$3\mathrm{.}780$

$$53\mathrm{.}820$

$139\mathrm{.}650$

$34,200$

$24\mathrm{.}000$

$$251,670$

There was no beginning or ending work in process inventory.

$($a$)$

Calculate the direct materials price, usage, and budget variances.

Direct materials price variance

v

Direct materials usage variance

Total materials budget variance