Schmidt Machinery Company (Exhibit 14.5) used 3,530 pounds of aluminum in June to manufacture 936 units. The company paid $29.00 per pound during the month to purchase aluminum. On June 1, the company had 66 pounds of aluminum on hand. At the end of June, the company had only 46 pounds of aluminum in its warehouse. Schmidt used 5,350 direct labor-hours in June, at an average cost of $42.00 per hour.

Required:

Compute for June:

1.	Schmidts purchase-price and usage variances for aluminum.

EXHIBIT 14.5 Standard Cost Sheet, Product XV-1 SCHMIDT MACHINERY COMPANY Standard Cost Sheet Product: XV-1 Descriptions Quantity Unit Cost Subtotal Total Direct materials: $25 40 40 12 4 pounds 1 pound 5 hours 5 hours S100 40 200 60 Aluminum PVC Direct labor Variable factory overhead Total variable manufacturing cost Fixed factory overhead* Standard manufacturing cost per unit Standard variable selling and administrative expense per unit $400 120 $520 S 50 24 5 hours 120 Budgeted fixed factory overhead cost $120,000