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DES Company manufactures folding chairs. Direct materials include hard plastic for the seat and back and metal beams for the legs. The standard cost sheet for a single chair includes the following direct materials information:

Material	Quantity	Cost per Unit	Total Cost
Hard plastic	2	sheets	$ 2.93	per sheet	$ 5.86
Metal beams	4	beams	$ 1.32	per beam	5.28
					$ 11.14

Last month, DES purchased 27,100 sheets of hard plastic at a cost of $71,002. The company also purchased 54,700 metal beams at a cost of $78,768. DES produced 13,700 chairs. There was no beginning or ending inventory of plastic sheets or metal beams during the month.

Required:

1. Compute the following for last months operations at DES Company:

a. The price variance for hard plastic. Indicate whether the variance is favorable or unfavorable.

b. The price variance for metal beams. Indicate whether the variance is favorable or unfavorable.

c. The total direct materials price variance. Indicate whether the variance is favorable or unfavorable.

d. The usage variances for hard plastic and metal beams, and the total direct materials usage variance. Indicate whether each variance is favorable or unfavorable.

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