During September of the current year, the controller was asked to perform variance analyses for August. The January operating data provided the standard prices, rates, times, and quantities per case. There were 1,500 actual cases produced during August, which was 250 more cases than planned at the beginning of the month. Actual data for August were as follows:

	Actual Direct Materials Price per Unit		Actual Direct Materials Quantity per Case
Cream base	$0.016	per oz.	102	ozs.
Natural oils	$0.32	per oz.	31	ozs.
Bottle (8-oz.)	$0.42	per bottle	12.5	bottles

	Actual Direct Labor Rate	Actual Direct Labor Time per Case
Mixing	$18.20	19.50 min.
Filling	14.00	5.60 min.
Actual variable overhead	$305.00
Normal volume	1,600 cases

The prices of the materials were different than standard due to fluctuations in market prices. The standard quantity of materials used per case was an ideal standard. The Mixing Department used a higher grade labor classification during the month, thus causing the actual labor rate to exceed standard. The Filling Department used a lower grade labor classification during the month, thus causing the actual labor rate to be less than standard.

Required:

10. Determine and interpret the direct materials price and quantity variances for the three materials. Enter the costs in dollars and cents (carried to three decimal places when required). Enter all amounts as positive numbers.

Direct Materials Price Variance:
	Cream Base		Natural Oils		Bottles
Actual price	$		$		$
Standard price
Difference	$		$		$
Actual quantity (units)	X	ozs.	X	ozs.	X	btls.
Direct materials price variance	$		$		$
Indicate if favorable or unfavorable

Enter the standard price to two decimal places.

Direct Materials Quantity Variance:
	Cream Base		Natural Oils		Bottles
Actual quantity		ozs.		ozs.		btls.
Standard quantity
Difference		ozs.		ozs.		btls.
Standard price	X		X		X
Direct materials quantity variance	$		$		$
Indicate if favorable or unfavorable

11. Determine and interpret the direct labor rate and time variances for the two departments. Do not round hours. Enter the costs in dollars and cents. Enter all amounts as positive numbers.

Direct Labor Rate Variance:
	Mixing Department		Filling Department
Actual rate	$		$
Standard rate
Difference	$		$
Actual time (hours)	X		X
Direct labor rate variance	$		$
Indicate if favorable or unfavorable

Direct Labor Time Variance:
	Mixing Department		Filling Department
Actual time (hours)
Standard time (hours)
Difference
Standard rate	X $		X $
Direct labor time variance	$		$
Indicate if favorable or unfavorable

12. Determine and interpret the factory overhead controllable variance. Enter all amounts as positive numbers.

Actual variable overhead	$
Variable overhead at standard cost
Factory overhead controllable variance	$
Indicate if favorable or unfavorable

13. Determine and interpret the factory overhead volume variance. When determining the fixed factory overhead rate. Round the factory overhead rate to two decimal places and and the factory overhead volume variance to whole dollars. Enter all amounts as positive numbers.

Normal volume (cases)
Actual volume (cases)
Difference
Fixed factory overhead rate	$
Factory overhead volume variance	$
Indicate if favorable or unfavorable