Manatee Corp has developed standard costs based on a predicted operating

Question

Manatee Corp. has developed standard costs based on a predicted operating level of 352,000 units of production, which is 80% of capacity. Variable overhead is $281,600 at this level of activity, or $0.80 per unit. Fixed overhead is $440,000. The standard costs per unit are:

Direct materials (0.5 lbs. @ $1/lb.)	$0.50 per unit
Direct labor (1 hour @ $6/hour)	$6.00 per unit
Overhead (1 hour @ $2.05/hour)	$2.05 per unit

Manatee actually produced 330,000 units at 75% of capacity and actual costs for the period were:

Direct materials (162,000 lbs.)	$ 170,100
Direct labor (329,500 hours)	$2,042,900
Fixed overhead	$ 438,000
Variable overhead	$ 262,000

Calculate the following variances and indicate whether each variance is favorable or unfavorable:
(1) Direct labor efficiency variance:
$__________________
(2) Direct materials price variance:
$__________________
(3) Controllable overhead variance:
$__________________