1. The Gibson Company uses standard costing and has established the following standards for its single product: Direct materials: 2 gallons at $3.10 per gallon Direct labor: 0.5 hours at $8.40 per hour Variable overhead: 0.5 hours at $2 per hour During November, the company made 4,000 units and incurred the following costs: Direct materials purchased: 8,100 gallons for a total cost of $25,920 Direct materials used: 7,814 gallons Direct labor used: 2,200 hours for a total cost of $18,810 Actual variable overhead: $4,224 The company applies variable overhead to products on the basis of standard direct labor-hours. Required (be sure to indicate whether each variance is Favorable or Unfavorable): (4 points) he price variance? a. What is the materials quantity variance? b. What was the labor rate variance? C. d. What was the labor efficiency variance? What was the variable overhead rate variance? e. What was the variable overhead efficiency variance? f