The direct materials and direct labour standards for one bottle of Clean-All spray cleaner are given below:

During the most recent month, the following activity was recorded:
a. 20,000 millilitres of material was purchased at a cost of $0.20 per millilitre.
b. All of the material was used to produce 3,000 bottles of Clean-All.
c. 625 hours of direct labour time was recorded at a total labour cost of $7,500.
Required:
1. Compute the direct materials price and quantity variances for the month.
2. Compute the direct labour rate and efficiency variances for the month.

Standard Quantity Standard or Hours 60 millilitres 0.2 hours Price Standard or Rate $0.25 per militre $12.00 per hour Cost $150 Direct materials.. Direct labour... . $2.40 .........