3 Exercise 10-8 Direct Materials and Direct Labor Variances [LO10-1, LO10-2] Dawson Toys, Ltd., produces a toy called the Maze. The company has recently established a standard cost system to help control costs and has established the following standards for the Maze toy: Direct labor: 1.2 hours per toy at $710 per hour During July, the company produced 5,500 Maze toys. The toy's production data for the month are as follows ints Direct materials: 6 microns per toy at $0.34 per micron eBook Direct materials: 76,000 microns were purchased at a cost of S0.32 per micron. 34,750 of these microns were still in inventory at the Print end of the month. Direct labor. 7100 direct labor-hours were worked at a cost of $53,250 ReferencesRequired 1. Compute the following variances for July: (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values. Do not round intermediate calculations. Round final answer to the nearest whole doller amount.) a. The materials price and quantity variances. b. The labor rate and efficiency variances. a Material price variance Material quantity variance Labor rate variance Labor efficiency variance 1b.