Direct Materials, Direct Labor, and Factory Overhead Cost Variance Analysis Mackinaw Inc. processes a base chemical into plastic. Standard costs and actual costs for direct materials, direct labor, and factory overhead incurred for the manufacture of 78,000 units of product were as follows: Actual Costs 254,800 lbs. at $5.90 19,950 hrs. at $18.90 Standard Costs Direct materials 257,400 lbs. at $6.00 Direct labor 19,500 hrs. at $18.70 Factory overhead Rates per direct labor hr., based on 100% of normal capacity of 20,350 direct labor hrs.: Variable cost, $4.40 Fixed cost, $7.00 Each unit requires 0.25 hour of direct labor. $84,940 variable cost $142,450 fixed cost Required: a. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Direct Materials Price Variance $ 40,160 x Favorable Direct Materials Quantity Variance $ 14,040 X Favorable Total Direct Materials Cost Variance $ 19,310 X Favorable b. Determine the direct labor rate variance, direct labor time variance, and total direct labor cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Direct Labor Rate Variance $ Unfavorable Direct Labor Time Variance Unfavorable Total Direct Labor Cost Variance Unfavorable c. Determine the variable factory overhead controllable variance, fixed factory overhead volume variance, and total factory overhead cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Favorable Variable factory overhead controllable variance Fixed factory overhead volume variance Unfavorable Total factory overhead cost variance Unfavorable