1. Vernon Mills, Inc. is a large producer of mens and womens clothing. The company uses standard costs for all of its products. The standard costs and actual costs per unit of product for a recent period are given below for one of the companys product lines

Direct materials:
Standard: 4.0 yards at $5.00 per yard
Actual: 4.5 yards at $5.50 per yard
Direct labor:
Standard: 1.5 DLH at $6.00 per hour
Actual: 1.25 DLH at $6.50 per hour ___________________________________________________________________________________________________________________ Variable Overhead: Standard 1.5 DLH at $2.70 per DLH Actual 1.25 DLH at $2.50 per DLH

During this period, the company produced 5,000 units of this product. There was no inventory of materials on hand at the beginning of the period. During the period, 22,000 yards of materials were purchased, all of which were used in production.

The Direct Materials Price Variance is:

Select one:

a. $10,000 U

b. $11,000 U

c. $10,000 F

d. $11,000 F

Using the information from Question 1 the Direct Material Quantity Variance is:

Select one:

a. $12,500 U

b. $13,750 U

c. $12,500 F

d. $13,750 F

Using the information from question 1 the Direct Labor Rate Variance is:

Select one:

a. $3,750 F

b. $3,125 F

c. $3,750 U

d. $3,125 U

Using Information from Question 1 the Direct Labor Efficiency Variance is:

Select one:

a. $7,500 F

b. $8,125 F

c. $7,500 U

d. $8,125 U