[cday44]

Calculate the following variances: direct materials price variance, direct materials quantity variance, total direct materials cost variance, direct labor rate variance, direct labor time variance and total direct labor cost variance. Decide whether each variance is favorable or unfavorable.

I need to know how I figure these out with these figures.

Standard wage per hour $10.25
Standard labor time per coaster in minutes 4
Standard number of sq. inches of leather per coaster 16
Standard price per sq. inch of leather $0.10
Actual price per sq. inch of leather $0.12
Actual sq. inches of leather used during the week 5,850
Number of coasters produced during the week 450
Actual wage per hour $9.75
Actual hours worked per week 70

These are the questions that need the amounts.

Direct materials price variance
Actual Quantity(Actual Price - Standard Price)
Direct materials quantity variance
Standard Price(Actual Quantity - Standard Quantity)
Total direct materials cost variance
Price Variance + Quantity Variance

Direct labor rate variance
Actual Hours(Actual Rate - Standard Rate)
Direct labor time variance
Standard Rate(Actual Hours - Standard Hours)
Total direct labor cost variance
Rate Variance + Time Variance

I am so confused! :eek: