Toyota evaluates standard costing for its car production. In August 2043, the following data is provided:

• Standard Material Cost per Unit: $500
• Actual Material Cost per Unit: $520
• Standard Units: 10,000
• Actual Units: 9,500

Requirements:

• Calculate the material price variance.
• Calculate the material quantity variance.
• Prepare a variance analysis report.
• Recommend strategies to control material costs.