Hang Ten is a small manufacturer of fasteners used in the manufacturing of hang gliders. It is a competitive business, with only a few major customers and a lot of machine shops like Hang Ten competing for this specialized business. The company has improved its materials to improve it product offerings. In order to stay on top of things, management at Hang Ten runs a variance analysis every month to make sure it stays on target. The following table contains its results for September.

a. Complete a price and efficiency variance for the materials used by Hang Ten.

b. Complete a price and efficiency variance for the labor used by Hang Ten.

c. How well did Hang Ten perform? Why?

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Measure Materials Labor Actual quantity 1500 pounds 4,00 hours Standard quantity 1600 pounds 3,600 hours Actual price S150 per pound $.00 per hour Standard price $145 per pound SK.00 per hour