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Mackinaw 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 4,800 units of product were as follows:

	Standard Costs		Actual Costs
Direct materials	6,200 lb. at $5.90		6,100 lb. at $5.80
Direct labor	1,200 hrs. at $17.10		1,230 hrs. at $17.30
Factory overhead	Rates per direct labor hr.,
	based on 100% of normal
	capacity of 1,250 direct
	labor hrs.:
		Variable cost, $4.10	$4,870 variable cost
		Fixed cost, $6.50	$8,125 fixed cost

Each unit requires 0.25 hour of direct labor.

Required:

a. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.

Direct materials price variance	$fill in the blank 1
Direct materials quantity variance	fill in the blank 3
Total direct materials cost variance	$fill in the blank 5

b. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.

Direct labor rate variance	$fill in the blank 7
Direct labor time variance	fill in the blank 9
Total direct labor cost variance	$fill in the blank 11

c. Determine variable factory overhead controllable variance, the fixed factory overhead volume variance, and total factory overhead cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.

Variable factory overhead controllable variance	$fill in the blank 13
Fixed factory overhead volume variance	fill in the blank 15
Total factory overhead cost variance	$fill in the blank 17

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