The ff.standards have been established for a raw material used to make product N04:

Standard quantity of the material per unit of output....2.7 pounds

Standard price if the material.....15.50 per pound

The following data to a recent months operation:

Actual material purchased....5200 pound

Actual cost material purchased....82680

Actual materials used in Production.....4600 pounds

Actual output...1760 units of product N04

REQUIRED:

a. What is the material price variance for the month?

B.what is the materials quantity variance for the month?

C. Can you explain your answer?