Reference no: EM132546370

During June HASF company material purchases amounted to 5,000 pounds at a price of 7 per pound. Actual costs incurred in the production of 5,000 units were as follows

Total direct labor cost 50,000 @10 per hour

Cost of Material used 35,000

The standards for one units of company product are as follows

Direct labor direct material

1.5 hour required for one unit 2 pounds of Material required for one unit

Rate 12 per hour price 10 per pound

Question 1: Compute the following

Material variance
Material quantity variance
Material price variance
Labor variance
Labor rate variance
Labor hour variance

Question 2: Summarize the variance that you computed in 1 above by showing the net overall favorable or unfavorable variance for the month. What impact did this figure have on the company income statement