Variance analysis. The Sudbury, South Carolina, plant of Saldanha Sports Company has the following standards for its soccer ball production:
Standards:
Material (leather) per soccer ball 0.25 yard
Material price per yard $16
Direct labor hours per soccer ball $0.20 hours
Wage rate per direct labor hour $10 per hour
Variable support cost rate $15 per direct labor hour
Actual results for October:
Used 13,000 yards of raw material, purchased for $205, 150
Paid for 8,240 direct labor hours at $9.50 per hour
Incurred $131,840 of variable support costs
Manufactured 40,000 soccer balls
Required:
Determine the following variances for October:
a) Total direct material cost variance
b) Total direct labor cost variance
c) Total variable support cost variance
d) Direct materials price variance
e) Direct materials quantity variance
f) Direct labor rate variance
g) Direct labor efficiency variance
h) Variable support rate variance
i) Variable support efficiency variance