Required
	1A	Prepare the material purchase price variance
	1B	Based on your answer explain the impact
			on the product cost
			on the income
	2A	Prepare the material usage variance
	2B	Explain why (sometimes) a favorable usage variance may cause
		issues with the product.
	3A	In your own words explain the purpose of the direct labor
		efficiency variance.
]

Budget or standard information Male Female Standard material used for each vest Liner Filler 9.4 7.0 yards 4.0 pounds 5.2 Standard direct labor hours for each vest 0.5 0.4 hours Estimated planned production 6,200 5,000 Units Standard labor rate $14.00 per hour Standard material cost Liner $8.00 per yard $2.00 per pound Filler Actual information Male 5,800 Female 4,400 Actual units produced Actual labor hours worked 2,800 1,825 Actual labor rate $14.50 $14.70 Actual material purchased and used Liner 85,100 yards 48,000 pounds Filler Actual material cost per item Liner $8.20 Per yard Filler $1.90 Per pound