3 Dawson Toys, Ltd. produces a toy called the Maze. The company has recently established a standard costing system to help control costs with the following standards for the Maze toy: Direct materials: 8 microns per toy at $4.50 per micron Direct labour: 0.90 hours per toy at $16.00 per hour Variable overhead: 0.90 hours per toy at $7.00 per hour 10 points During July, the company planned to make 5,700 toys, the normal volume, and produced 5,800 Maze toys. Production data for the month on the toy follow: Skipped eBook Direct materials: 34,770 microns were purchased for use in production at a cost of $4.40 per micron. 13,000 of these microns were still in inventory at the end of the month. Direct labour: 5,700 direct labour-hours were worked at a cost of $96,900. Variable overhead cost was $42,440, and fixed overhead cost was $65,400. The budget variance for July was $0. Print References Required: 1-a. Compute the direct materials price and quantity variances for July. (Indicate the effect of each variance by selecting "F" for favourable, "U" for unfavourable, and "None" for no effect (i.e., zero variance).) Materials price variance Materials quantity variance 3 1-b. Compute the direct labour rate and efficiency variances for July. (Indicate the effect of each variance by selecting "F" for favourable, "U" for unfavourable, and "None" for no effect (i.e., zero variance).) 10 points Skipped Labour rate variance Labour efficiency variance eBook Print References 3-a. Compute the variable overhead cost variances. 3 Rate variance Efficiency variance Total variance 10 points Skipped eBook Print References 3-b. Based on your calculation, is it possible to conclude that there were inefficiencies in operations causing excessive variable overhead to be incurred? O Yes O No 3 4. Compute the fixed overhead volume variance. (Round intermediate calculation to 3 decimal places and round your final answer to nearest whole dollar amount.) Fixed overhead volume variance 10 points Skipped eBook Print References 5. Is there over- or underapplied fixed overhead? (Round intermediate calculation to 3 decimal places and round your final answer to nearest whole dollar amount.) by