100 Formulas: SQA = SQ x Output SHA-SH x Output Materials Price Variance = AQ X (AP-SP) Materials Quantity Variance - SP X (AQ-50, Labor Rate Variance - AH AR-SR) Labor Efficiency Variance SRX (AH-SH) Collapse Dillon Company produces coats. Each coat has a standard requiring 8 yards of fabricat a cost of 36.25 per yard. The standard for direct labor is 2 hours per coat at a pay rate of $19 per hour. During the year Dillon produced 40,000 coats. Actual fabric purchased and used was 275,000 yards at $6.10 per yard. Actual direct labor was 81,000 hours at $18.50 per hour Choose Choose Choose Compute the materials price variance is the material price variance favorable or unfavorable? Compute the materials quantity variance Is the materials quantity variance favorable or unfavorable? Choose Compute the labor rate variance. Is the labor rate variance favorable or unfavorable? Compute the labor efficiency variance. Choose... V Choose.. Choose... Choose... Is the labor efficiency variance favorable or unfavorable