Palm Time Inc. budgeted 6,000 step stools for June under its standard costing system. Each stool...

  

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Palm Time Inc. budgeted 6,000 step stools for June under its standard costing system. Each stool is sold for $22. Actual production for June was 6,300 stools. The company uses units of product as the cost driver for overhead. Standards and actual costs follow for June:] Budgeted and Standard 1.1 linear feet @ $2.40 a foot Actual 6,400 feet purchased for $15,040; 6,450 feet used Direct materials 0.10 hours @ $14.00 per Direct labor 620 hours @$14.30 per hour hour Variable overhead $16,800 total $18,400 Fixed overhead $15.00 per DLH $9,200 Calculate the material price variance, material quantity variance, labor rate variance and labor efficiency variance. Indicate if each of the variances is favorable or unfavorable. Palm Time Inc. budgeted 6,000 step stools for June under its standard costing system. Each stool is sold for $22. Actual production for June was 6,300 stools. The company uses units of product as the cost driver for overhead. Standards and actual costs follow for June:] Budgeted and Standard 1.1 linear feet @ $2.40 a foot Actual 6,400 feet purchased for $15,040; 6,450 feet used Direct materials 0.10 hours @ $14.00 per Direct labor 620 hours @$14.30 per hour hour Variable overhead $16,800 total $18,400 Fixed overhead $15.00 per DLH $9,200 Calculate the material price variance, material quantity variance, labor rate variance and labor efficiency variance. Indicate if each of the variances is favorable or unfavorable.