PROBLEM 10â??15 Comprehensive Variance Analysis [LO1, LO2, LO3]Helix Company produces several produc

PROBLEM 10–15 Comprehensive Variance Analysis [LO1, LO2, LO3]Helix Company produces several products in its factory, including a karate robe. The companyuses a standard cost system to assist in the control of costs. According to the standards that havePROBLEM 10–14 Comprehensive Variance Analysis [LO1, LO2, LO3]Vitalite, Inc., produces a number of products, including a body-wrap kit. Standard variable costsrelating to a single kit are given below:Standard Costs and Variances 453During April, the factory worked only 760 direct labor-hours and produced 2,000 robes. Thefollowing actual costs were recorded during the month:Raw Material Standard Labor TimeProduct X342 Y561 Sintering FinishingAlpha8 . . . . . . . . . . . . 1.8 kilos 2.0 liters 0.20 hours 0.80 hoursZeta9 . . . . . . . . . . . . . 3.0 kilos 4.5 liters 0.35 hours 0.90 hoursInformation relating to materials purchased and materials used in production during Mayfollows:Material Purchases Purchase Cost Standard Price Used in ProductionX342 . . . . . . . . . . . 14,000 kilos $51,800 $3.50 per kilo 8,500 kilosY561 . . . . . . . . . . . 15,000 liters $19,500 $1.40 per liter 13,000 litersThe following additional information is available:a. The company recognizes price variances when materials are purchased.b. The standard labor rate is $20.00 per hour in Sintering and $19.00 per hour in Finishing.c. During May, 1,200 direct labor-hours were worked in Sintering at a total labor cost of $27,000,and 2,850 direct labor-hours were worked in Finishing at a total labor cost of $59,850.d. Production during May was 1,500 Alpha8s and 2,000 Zeta9s.been set for the robes, the factory should work 780 direct labor-hours each month and produce1,950 robes. The standard costs associated with this level of production are as follows:TotalPer Unitof ProductDirect materials . . . . . . . . . . . . . . . . . . . . . . . . $35,490 $18.20Direct labor . . . . . . . . . . . . . . . . . . . . . . . . . . . $7,020 3.60Variable manufacturing overhead (based ondirect labor-hours) . . . . . . . . . . . . . . . . . . . . $2,340 1.20$23.00TotalPer Unitof ProductDirect materials (6,000 yards) . . . . . . . . . . $36,000 $18.00Direct labor . . . . . . . . . . . . . . . . . . . . . . . . $7,600 3.80Variable manufacturing overhead . . . . . . . $3,800 1.90$23.70At standard, each robe should require 2.8 yards of material. All of the materials purchased duringthe month were used in production.Required:Compute the following variances for April:1. The materials price and quantity variances.2. The labor rate and efficiency variances.3. The variable manufacturing overhead rate and efficiency variances.