Reference no: EM132547708

Question - Deere and Company has the following information is for their standard and actual costs.

Standard Costs:

Budgeted units of production - 12,000 (100% of capacity)

Standard material per unit - 14 lbs.

Standard material cost - $ 17.50 per pound

Standard labor hours per unit - 9

Standard labor rate - $23.00 per hour

Standard variable overhead rate - $9.00 per labor hour

Budgeted fixed overhead - $891,000

Fixed overhead rate is based on budgeted labor hours at 100% capacity.

Actual Cost:

Actual production - 11,200 units

Actual material purchased and used - 161,280 pounds

Actual total material cost - $2,741,760

Actual labor - 105,280 hours

Actual total labor costs - $2,379,328

Actual fixed overhead - $808,000

Actual variable overhead - $925,000

Determine: (a) the quantity variance, price variance, and total direct materials cost variance; (b) the time variance, rate variance, and total direct labor cost variance; and (c) the volume variance, controllable variance, and total factory overhead cost variance.