Road Ready Tire Co. manufactures automobile tires. Standard costs and actual costs for direct materials, direct labor, and factory overhead incurred for the manufacture of 5,200 tires were as follows:

Each tire requires 0.25 hour of direct labor.InstructionsDetermine (a) The price variance, quantity variance, and total direct materials cost variance; (b) The rate variance, time variance, and total direct labor cost variance; and(c) Variable factory overhead controllable variance, the fixed factory overhead volume variance, and total factory overhead costvariance.

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Actual Costs Standard Costs 71,000 lbs. at $5.10 1,300 hrs. at $17.50 Rates per direct labor hr., based on 100% of normal capacity of 1,350 direct labor hrs.: Variable cost, $3.10 Fixed cost, $4.90 70,600 Ibs. at $5.00 1,330 hrs. at $17.80 Direct materials Direct labor Factory overhead $4,000 variable cost $6,615 fixed cost