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Walton Company manufactures molded candles that are finished by hand. The company developed the following standards for a new line of drip candles:

Amount of direct materials per candle		1.70	pounds
Price of direct materials per pound	$	0.60
Quantity of labor per unit		0.90	hours
Price of direct labor per hour	$	7.10	/hour
Total budgeted fixed overhead	$	182,400

During 2017, Walton planned to produce 32,000 drip candles. Production lagged behind expectations, and it actually produced only 25,000 drip candles. At year-end, direct materials purchased and used amounted to 43,900 pounds at a unit price of $0.56 per pound. Direct labor costs were actually $6.40 per hour and 24,900 actual hours were worked to produce the drip candles. Overhead for the year actually amounted to $150,000. Overhead is applied to products using a predetermined overhead rate based on estimated units.

Required

1. a.&b. Compute the standard cost per candle for direct materials, direct labor, overhead and also the total standard cost for one drip candle.

2. c.&d. Compute the actual cost per candle for direct materials, direct labor, overhead and also the total actual cost per candle.

3. e. Compute the price and usage variances for direct materials and direct labor.

4. f. Compute the fixed cost spending and volume variances.

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