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Sonne Company produces a perfume called Whim. The direct materials and direct labor standards for one bottle of Whim are given below: Standard Quantity or

Sonne Company produces a perfume called Whim. The direct materials and direct labor standards for one bottle of Whim are given below:

Standard Quantity or Hours Standard Price or Rate Standard Cost
Direct materials 7.40 ounces $ 2.60 per ounce $ 19.24
Direct labor 0.45 hours $ 8.00 per hour $ 3.60

During the most recent month, the following activity was recorded:
a. 12,100 ounces of material were purchased at a cost of $2.50 per ounce.
b. All of the material was used to produce 1,500 bottles of Whim.
c. 575 hours of direct labor time were recorded at a total labor cost of $5,750.
Required:
1.

Compute the direct materials price and quantity variances for the month.

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