Ch23 Case Study Assignment - Part 3 Variance Analysis Problem Yellowstone, Inc. has prepared the following standard cost sheet for one unit of the product. Direct materials (5 pounds at $4.50 per pound) Direct labor (2.5 hours at $10.00 per hour) $22.50 $25.00 During the month of November, the company manufactures 1,500 units and incurs the following actual costs. Direct materials purchased and used (8,000 pounds) Direct labor (3,000 hours) $32,000 $27,000 1. Compute the total, price, and quantity variances for materials and labor. Direct Material Variances Total Direct Material Variance Direct Material Price Variance (AQ AP) (SQxSP) Total Favorable or Unfavorable (AQx AP) (AQxSP) Total Favorable or Unfavorable (AQx SP) (SQxSP) Total Favorable or Unfavorable Direct Material Quantity Variance Direct Labor Variances (AHAR) (SHSR) Total Favorable or Unfavorable Total Direct Labor Variance (AH AR) (AHSR) Total Favorable or Unfavorable Direct Labor Price (Rate) Variance (AH SR) (SHSR) Total Favorable or Unfavorable Direct Labor Quantity Variance