Malaya Inc. produces bricks with relevant information from the current year budget:

Expected production and sales5,000 units

Direct Materials38,000 pounds @P15/lb

Direct Manufacturing Labor26,000 hours @P45/hr

Total Fixed CostsP1,400,000

During the year, actual number of units produced and sold was 7,000. Actual cost of direct materials used was P841,500 at P16.50 per pound. Direct manufacturing labor hours actually used were 38,000 at the rate of P43.25 per hour. Actual fixed costs were P1,550,000. There were no beginning or ending inventories.

Required: Compute price and efficiency variances for Direct Materials and Direct Manufacturing Labor.

Determine the following:

>Material Price Variance

>Material Usage Variance

>Labor Rate Variance

>Labor Efficiency Variance