You have been invited to interview for an internship with an international food manufacturing company. When you arrive for the interview, you are given the following information related to Barclay Limited. The following direct materials and direct labor data pertain to the operations of the company for the month of August.

Costs			Quantities
Actual labor rate	$13 per hour		Actual hours incurred and used	4,150 hours
Actual material price	$128 per ton		Actual quantity of material purchased and used	1,220 tons
Standard labor rate	$12.50 per hour		Standard hours used	4,300 hours
Standard materials price	$130 per ton		Standard quantity of material used	1,200 tons

a. Compute the total, price, and quantity variances for materials and labor.

b. Provide at least two possible explanations for each of the unfavorable variances calculated above and suggest where responsibility for the unfavorable result might be placed.