Genie in a Bottle Company (GBC) manufactures plastic two-literbottles for the beverage industry. The cost standards per 100two-liter bottles are as follows:

Cost Category		Standard Cost per 100 Two-Liter Bottles
Direct labor			$1.52
Direct materials			6.18
Factory overhead			0.34
	Total		$8.04

At the beginning of July, GBC management planned to produce670,000 bottles. The actual number of bottles produced for July was723,600 bottles. The actual costs for July of the current year wereas follows:

Cost Category		Actual Cost for the Month Ended July 31
Direct labor						$10,779
Direct materials						43,645
Factory overhead						2,485
	Total					$56,909

Enter all amounts as positive numbers.

a. Prepare the July manufacturing standard costbudget (direct labor, direct materials, and factory overhead) forWBC, assuming planned production.

Geniein a Bottle Company
Manufacturing Cost Budget
Forthe Month Ended July 31
	Standard Cost at Planned Volume(670,000Bottles)
Manufacturing costs:
Direct labor	$
Direct materials
Factory overhead
Total	$

b. Prepare a budget performance report formanufacturing costs, showing the total cost variances for directmaterials, direct labor, and factory overhead for July. Enter afavorable variance as a negative number using a minus sign and anunfavorable variance as a positive number. If required, round youranswers to nearest cent.

Geniein a Bottle Company
Manufacturing Costs-Budget Performance Report
Forthe Month Ended July 31
	Actual Costs	Standard Cost at ActualVolume(723,600 Bottles)	Cost Variance- (Favorable) Unfavorable
Manufacturing costs:
Direct labor	$	$	$
Direct materials
Factory overhead
Total manufacturing cost	$	$	$

c. The Company's actual costs were $1268.44than budgeted. direct labor and direct material cost variances morethan offset a small factory overhead cost variance.