The Blazon Manufacturing Company's costing system has two direct-cost categories: direct materials and direct manufacturing labor. Manufacturing overhead (both variable and fixed) is allocated to products on the basis of standard direct manufacturing labor-hours (DLH). At the beginning of 2017, Blazon adopted the following standards for its manufacturing costs:

Requirement 1. Prepare a schedule of total standard manufacturing costs for the 7,200 output units in January 2017.

Direct Materials	$
Direct manufacturing labor
Variable manufacturing overhead
Fixed manufacturing overhead
Total

Requirement 2. For the month of January 2017, compute the variances, indicating whether each is favorable (F) or unfavorable (U).

Before computing the variances complete the tables below. Begin by completing the table for direct materials.

Cost per Output Unit $ 25.00 Input 5 lb. at $5 per lb. 6 hrs. at $17 per hr $5 per DLH $7 per DLH Direct materials Direct manufacturing labor Variable manufacturing overhead Fixed manufacturing overhead Standard manufacturing cost per output unit 102.00 30.00 42.00 $ 199.00 The denominator level for total manufacturing overhead per month in 2017 is 37,000 direct manufacturing labor-hours. Blazon's budget for January 2017 was based on this denominator level. The records for January indicated the following: Direct materials purchased 39,000 lb. at $5.25 per lb. Direct materials used 36,500 lb. Direct manufacturing labor 44,200 hrs. at $17.40 per hr. Total actual manufacturing overhead (variable and fixed) $500,000 Actual production 7,200 output units Actual Input Quantity * Budgeted Price Actual Costs Incurred $ Usage Flexible Budget Purchases $ Direct materials a. Direct materials price variance, based on purchases, is $ b. The direct materials efficiency variance is $ Now complete the table for direct labor. Actual Costs Actual Input Quantity Incurred * Budgeted Price Direct Manufacturing Labor $ Flexible Budget $ c. The direct manufacturing labor price variance is d. The direct manufacturing labor efficiency variance is Allocated Overhead $ Next, complete the table for variable overhead. Actual Input Actual Costs Quantity * Budgeted Flexible Incurred Price Budget Variable Manufacturing Overhead $ $ Finally, complete the table for fixed overhead. Same Budgeted Lump Actual Costs Sum Regardless of Flexible Incurred Output Level Budget Fixed Manufacturing Overhead $ Allocated Overhead e. The total manufacturing overhead spending variance is f. The variable manufacturing overhead efficiency variance is g. The production-volume variance is