The purchasing department buys the quantities of raw materials that are expected to be used in production each month. Raw materials inventories, therefore, can be ignored. (a) Compute all of the materials and labor variances. Total materials variance 338 Unfavorable Materials price variance +A 1440 Unfavorable Materials quantity variance $ 1778 Unfavorable Total labor variance $ 940 Unfavorable Labor price variance +A $ 11700 Favorable Labor quantity variance $ 230 Favorable (b) Compute the total overhead variance. Total overhead variance A 1900 Hi Unfavorable Rogen Corporation manufactures a single product. The standard cost per unit of product is shown below. Direct materials-1 pound plastic at $8.00 per pound $8.00 Direct labor-1.5 hours at $11.70 per hour 17.55 9.75 Variable manufacturing overhead Fixed manufacturing overhead Total standard cost per unit 5.25 $40.55 The predetermined manufacturing overhead rate is $10.00 per direct labor hour ($15.00 1.5). It was computed from a master manufacturing overhead budget based on normal production of 8,100 direct labor hours (5,400 units) for the month. The master budget showed total variable costs of $52,650 ($6.50 per hour) and total fixed overhead costs of $28,350 ($3.50 per hour). Actual costs for October in producing 3,200 units were as follows. Direct materials (3,380 pounds) $27,378 Direct labor (4,700 hours) 55,930 Variable overhead 35,518 Fixed overhead 14,382 Total manufacturing costs $133,208 The purchasing department buys the quantities of raw materials that are expected to be used in production each month. Raw materials inventories, therefore, can be ignored