The standard cost sheet for a product is shown.

Manufacturing Costs	Standard price	Standard Quantity	Standard Cost per unit
Direct materials	$4.60 per pound	5.60 pounds	$	25.76
Direct labor	$12.47 per hour	2.10 hours	$	26.19
Overhead	$1.90 per hour	2.10 hours	$	3.99
			$	55.94

The company produced 3,000 units that required:

17,300 pounds of material purchased at $4.45 per pound

6,220 hours of labor at an hourly rate of $12.87 per hour

Actual overhead in the period was $12,270

Fill in the Budget Performance Report for the period. Some amounts are provided. Round your answers to the nearest dollar. However, do not round your intermediate calculations.

Budget Performance Report
Manufacturing Costs: 3,000 units	Actual Costs	Standard Costs	Variance (Favorable)/ Unfavorable
Direct materials	$76,985	$fill in the blank	$fill in the blank
Direct labor	fill in the blank	78,561	fill in the blank
Overhead	12,270	fill in the blank	fill in the blank
	$fill in the blank	$fill in the blank the direct materials cost variance into the materials price varaince and the Direct materials quantity variance. Remember that you want to isolate the price variance from the quantity variance so be sure to use factors that do not overlap. Also remember that the two variances should equal the total direct material cost variance.

Direct materials price variance:	Direct materials quantity variance:
(Actual price - Standard price) x actualstandard quantity	(Actual quantity - Standard quantity) x actualstandard price
$2,300 favorable$2,750 favorable$2,595 favorable$2,595 unfavorable	$2,750 favorable$2,300 favorable$2,300 unfavorable$2,595 favorable

Split the direct labor cost variance into the direct labor rate variance and the direct labor time variance. Remember that you want to isolate the price variance from the efficiency variance so be sure to use factors that do not overlap. Also remember that the two variances should equal the total direct labor cost variance.

Direct labor rate variance:	Direct labor time variance:
(Actual rate - Standard rate) x actualstandard hours	(Actual hours - Standard hours) x actualstandard labor rate
$2,488 favorable$2,488 unfavorable$2,300 favorable$2,300 unfavorable	$998 favorable$998 unfavorable$2,300 unfavorable$2,595 favorable

Manufacturing variances are period costs that are rolled into

revenuecost of salesassetsliabilities

and reported on the

balance sheetincome statement

. A favorable variance is recorded as a

debitcredit

and an unfavorable variance is recorded as a

debitcredit