(a) Calculate the direct materials price and quantity variances for November. (If variance is zero, select "Not Applicable and enter O for the amounts) Direct material price variance Direct material quantity variance $ Direct labor rate variance $ (b) Calculate the direct labor rate and efficiency variances for November. (Round answers to 0 decimal places, e.g. 125. If variance is zero, select "Not Applicable" and enter O for the amounts.) $ Direct labor efficiency variance $ (c) Calculate the variable overhead spending and efficiency variances for November. (Round answers to 0 decimal places, eg. 125. If variance is zero, select "Not Applicable and enter O for the amounts) Variable overhead spending variance Variable overhead efficiency variance Fixed overhead spending variance $ (d) Calculate the fixed overhead spending variance for November. (Round answer to 0 decimal places, eg. 125. If variance is zero, select "Not Applicable and enter 0 for the amounts) $ $

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M8(7)

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Aaha Inc. produces premium protective automotive covers. The direct materials and direct labour standards for one car cover are as follows: Standard Quantity or Hours Direct materials Direct labour 7.00 metres of cloth 0.30 hours Standard Price or Rate $8 per metre $ 16 per hour Standard Cost $56.00 $4.80 In September, the following activity was recorded: 17,500 metres of cloth were purchased at a cost of $7.50 per metre All of the purchased material was used to produce 2,500 car covers. 520 direct labour-hours were recorded at a total labour cost of $8,320. Required: 1. Compute all direct materials variances for September (Indicate the effect of each variance by selecting "F" for favourable, "U" for unfavourable, and "None" for no effect (ie., zero variance).) Answer is complete and correct. Direct materials price variance Direct materials quantity variance Total direct material cost variance $ 8,750 F $ $ 8,750 ( 0 None F 000

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