Sandy Inc. produces and sells sand by the bag and uses a standard (budgeted) cost

system to collect costs related to production. The following information relates to Sandy's operations

for last month:

1. Number of bags of sand sold......................................... 120,000

2. Standard price of direct material (per pound) ..................... $0.90

3.Standard direct labor rate per hour ........................................ $14.50

4. Actual quantity of direct materials purchased (in pounds)...........???

5. Standard quantity of direct materials per bag (in pounds) ...........1.4

6. Actual quantity of direct materials used ......................................???

7. Standard quantity of direct labor per bag (in hours) ...................???

8. Number of bags produced ....................................................144,000

9. Actual price paid for direct materials (per pound) .................... $0.85

10. Actual direct labor rate per hour.................................................???

11. Actual quantity of direct labor (in hours)................................12,500

12. Labor rate variance..............................................................$6,250U

13. Materials quantity variance .................................................$7,310F

14. Materials price variance ..................................................... $1,400F

15. Labor efficiency variance ...................................................$27,550F

Required:

Compute the unknown quantities above. (Numbers 4, 6, 7, and 10.)