at the beginning of october cornerstone printers company budget 372618

At the beginning of October, Cornerstone Printers Company budgeted 16,000 books to be printed in October at standard direct materials and direct labor costs as follows:

Direct materials …… $24,000

Direct labor ………….. 8,000

Total ………………. $32,000

The standard materials price is $0.60 per pound. The standard direct labor rate is $10 per hour. At the end of October, the actual direct materials and direct labor costs were as follows:

Actual direct materials …. $21,600

Actual direct labor ……….. 7,200

Total …………………… $28,800

There were no direct materials price or direct labor rate variances for October. In addition, assume no changes in the direct materials inventory balances in October. Cornerstone Printers Company actually produced 14,000 units during October.

Determine the direct materials quantity and direct labor time variances.