Reference no: EM133132303

Question - Huron Company produces a commercial cleaning compound known as Zoom. The direct materials and direct labor standards for one unit of Zoom are given below:

	Standard Quantity or Hours	Standard Price or Rate	Standard Cost
Direct materials	7.00 pounds	$2.20 per pound	$15.40
Direct labor	0.45 hours	$7.00 per hour	$3.15

During the most recent month: the following activity was recorded:

a. Nineteen thousand five hundred pounds of material were purchased at a cost of $2.10 per pound.

b. All of the material purchased was used to produce 2,500 units of Zoom.

c. 1,025 hours of direct labor time were recorded at a total labor cost of $9,225.

Required -

1. Compute the materials price and quantity variances for the month.

2. Compute the labor rate and efficiency variances for the month.