Answer
Logical Explanations for the Variances:
Wool Price Variance (Favorable): Zanella found a good deal on wool, reducing costs.
Wool Efficiency Variance (Unfavorable): The actual wool usage exceeded the standard, possibly due to inexperience or changes in shawl designs.
Labor Price Variance (Unfavorable): Labor costs were higher than expected due to wage rate fluctuations.
Labor Efficiency Variance (Favorable): Workers completed shawls more efficiently than the standard, potentially because of the experienced employees.
Work Step by Step
Logical Explanations for the Variances:
Wool Price Variance (Favorable): Zanella found a good deal on wool, reducing costs.
Wool Efficiency Variance (Unfavorable): The actual wool usage exceeded the standard, possibly due to inexperience or changes in shawl designs.
Labor Price Variance (Unfavorable): Labor costs were higher than expected due to wage rate fluctuations.
Labor Efficiency Variance (Favorable): Workers completed shawls more efficiently than the standard, potentially because of the experienced employees.