Rudd Clothiers is a small company that manufactures tall-mens suits. The company has used a standard cost accounting system. In May 2020, 10,200 suits were produced. The following standard and actual cost data applied to the month of May when normal capacity was 16,500 direct labor hours. All materials purchased were used.

Cost Element		Standard (per unit)		Actual
Direct materials		10 yards at $4.30 per yard		$426,620 for 102,800 yards ($4.15 per yard)
Direct labor		1.20 hours at $14.00 per hour		$183,612 for 12,840 hours ($14.30 per hour)
Overhead		1.20 hours at $6.00 per hour (fixed $3.50; variable $2.50)		$48,800 fixed overhead $36,500 variable overhead

Overhead is applied on the basis of direct labor hours. At normal capacity, budgeted fixed overhead costs were $57,750, and budgeted variable overhead was $41,250. (a) Compute the total, price, and quantity variances for (1) materials and (2) labor. (Round per unit values to 2 decimal places, e.g. 52.75 and final answers to 0 decimal places, e.g. 52.)

(1)		Total materials variance		$		FavorableUnfavorableNeither favorable nor unfavorable
		Materials price variance		$		FavorableNeither favorable nor unfavorableUnfavorable
		Materials quantity variance		$		Neither favorable nor unfavorableFavorableUnfavorable
(2)		Total labor variance		$		Neither favorable nor unfavorableFavorableUnfavorable
		Labor price variance		$		FavorableNeither favorable nor unfavorableUnfavorable
		Labor quantity variance		$		Neither favorable nor unfavorableUnfavorableFavorable

(b) Compute the total overhead variance.

Total overhead variance

$

UnfavorableFavorableNeither favorable nor unfavorable

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