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Materials Variances Cinturon Corporation produces high quality leather belts. The company's plant in Boise uses...

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Materials Variances Cinturon Corporation produces high quality leather belts. The company's plant in Boise uses a standard costing system and has set the following standards for materials and labor Leather (3 strips $4) $12.00 Direct lobor (0.75 h $12) 9.00 Total prime cost $21.00 During the first month of the year, the Bolse plant produced 02,000 bolts. Actual teather purchased was 300,500 strips at $3.00 per strip. There were no beginning or ending inventories of leather Actual direct lobor was 79,100 hours at $15.00 per hour Required: 1. Break down the total variance for materials into a price variance and se variance using the columnat and formula approaches. Enter favorable values as negative numbers and unfavorable valoon as pontive number Price variance Favorable . 115,000 Usage variance Unfavorable . 46,000 X Total variance Favorable 69,000 X were told the nurchasing manoor that

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