Direct Materials, Direct Labor, and Factory Overhead Cost Variance Analysis
Specialty Polymers, Inc., processes a base chemical into plastic. Standard costs and actual costs for direct materials, direct labor, and factory overhead incurred for the manufacture of 19,000 units of product were as follows:
Standard Costs 
Actual Costs 

Direct materials 
2,500 lbs at $8.10 
2,440 lbs at $8.30 
Direct labor 
3,800 hrs at $17.50 
3,750 hrs at $17.68 
Factory overhead 
Rates per direct labor hr 
Based on 100% of normal capacity of 3,900 direct labor hrs:
Variable cost $2.20 
$8,100 variable cost 
Fixed cost $3.50 
$13,650 fixed cost 
Each unit requires 0.2 hour of direct labor.
Required:
a. Determine the price variance, quantity variance, and total direct materials cost variance.
Use the minus sign to enter favorable variances as negative numbers.
b. Determine the rate variance, time variance, and total direct labor cost variance. Use the minus sign to enter favorable variances as negative numbers.
c. Determine variable factory overhead Controllable Variance, the fixed factory overhead volume variance, and total factory overhead cost variance. Use the minus sign to enter favorable variances as negative numbers.