The standard cost of Product B manufactured by Ivanhoe Company includes $2\mathrm{.}4$ units of direct materials at $$5\mathrm{.}30$ per unit. During

June, $26,600$ units of direct materials are purchased at a cost of $$5\mathrm{.}10$ per unit, and $26,600$ units of direct materials are used to

produce $10,700$ units of Product B$.$

$($a$)$

Compute the total materials variance and the price and quantity variances.

Total materials variance

$

Materials price variance

$

Materials quantity variance

$

$($b$)$

Compute the total materials variance and the price and quantity variances, assuming the purchase price is $$5\mathrm{.}35$ and the quantity

purchased and used is $25,600$ units.

Total materials variance

Materials price variance

Materials quantity variance $

Favorable

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Neither favorable nor unfavorable

Unfavorable