Direct Materials Variances

Clean Plate Company produces placemats. Each placemat calls for 0.2 meters of vinyl material; the material should cost $1 per meter. In June, the company manufac- tured and sold 100,000 placemats. During the month, it used 20,200 meters of vinyl material. The total cost of the material was $19,796. Compute the direct materials price and direct materials quantity variances for June.