Valport Valve Company manufactured 7,900 units during March of a control valve used by milk processors in its Shreveport plant. Records indicated the following:

Direct labor		48,200	hr. at $14.10
Direct material purchased		26,000	lb. at $2.60
Direct material used		23,400	lb.

The control valve has the following standard prime costs.

Direct material:	3	lb. at $2.50 per lb.	$	7.50
Direct labor:	6	hr. at $14.60 per hr.		87.60
Standard prime cost per unit			$	95.10

Required:

1.	Prepare a schedule of standard production costs for March, based on actual production of 7,900 units.

2.	For the month of March, compute the following variances. (Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance).)