Leather Goods Company has a standard costing system and keeps all its cost standards up to date. The company’s main product is a leather briefcase, which is made in a single cost center. The standard variable costs for one unit are as follows

Direct materials (3 sq. meters @ $12.50 per sq. meter)	$37.50
Direct labor (1.2 hours @ $9.00 per hour)	10.80
Variable overhead (1.2 hours @ $5.00 per direct labor hour)	6.00
Standard variable cost per unit	$54.30

The company’s master budget was based on its normal capacity of 15,000 direct labor hours. Its budgeted fixed overhead costs for the year were $54,000.

During the year, it produced and sold 12,200 units, and it purchased and used 37,500 square meters of direct materials; the purchase cost was $12.40 per square meter. The average labor rate was $9.20 per hour, and 15,250 direct labor hours were worked. The company’s actual variable overhead costs for the year were $73,200, and its fixed overhead costs were $55,000.

Required

Using the data given, compute the following using formulas or diagram form:

1. Standard hours allowed for good output

2. Standard fixed overhead rate

3. Direct materials cost variances:

a. Direct materials price variance

b. Direct materials quantity variance

c. Total direct materials variance

4. Direct labor cost variances:

a. Direct labor rate variance

b. Direct labor efficiency variance

c. Total direct labor variance

5. Variable overhead cost variances:

a. Variable overhead spending variance

b. Variable overhead efficiency variance

c. Total variable overhead variance

6. Fixed overhead cost variances:

a. Fixed overhead budget variance

b. Fixed overhead volume variance

c. Total fixed overhead variance