The Aipom Company uses standard costing and has established the following standards for its single product:

• Direct materials: 2 gallons at 3 per gallon
• Direct labor: 0.5 hours at 8 per hour
• Variable overhead: 0.5 hours at 2 per hour

During the month, the company made 4,000 units and incurred the following costs:

• Direct materials purchased: 8,100 gallons at 3.10 per gallon
• Direct materials used: 7,600 gallons
• Direct labor used: 2,200 hours at 8.25 per hour
• Actual variable overhead: 4,175

The company applies variable overhead to products on the basis of standard direct labor hours.

QUESTIONS: (SHOW SOLUTION)

The RAW MATERIALS INVENTORY at standard price was?

The materials QUANTITY VARIANCE was?

The variable manufacturing overhead SPENDING VARIANCE was?