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Week 9 Homework Due October 28 eBook Direct Materials, Direct Labor, and Factory Overhead Cost Variance Analysis Mackinaw Inc processes a base chemical into plastic Standard costs and actual costs for direct materials, direct labor, and factory overhead incurred for the manufacture of 40,000 units of product were as follows: Standard Costs Actual Costs Direct materials 120,000 lbs. at $3,20 per lb. 118,500 lbs. at $3,25 per lb. Direct labor 12,000 hrs. at $24.40 per hr. 11,700 hrs. at $25.00 per hr. Factory overhead Rates per direct labor hr. based on 100% of normal capacity of 15,000 direct labor hrs. Variable cost, $8.00 $91,200 variable cost $150,000 fixed cost Fixed cost, $10.00 Each unit requires 0.3 hour of direct labor Required: a. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number Required: a. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number, Direct Materials Price Variance 5,925 Unfavorable Direct Materials Quantity Variance 4,800 x Favorable Total Direct Materials Cost Variance 1,125 Unfavorable b. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number Direct Labor Rate Variance 7,020 Unfavorable Direct Labor Time Variance 7,320 X Favorable Total Direct Labor Cost Variance 300 X Favorable c. Determine the variable factory overhead controllable variance, fixed factory overhead volume variance, and total factory overhead cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Variable factory overhead controllable variance 4,800 x Favorable Fixed factory overhead volume variance 33,000 X Unfavorable 30,600 X Unfavorable Total factory overhead cost variance