5 Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: 1 Standard Unit Cost $11.30 3.36 points Standard Standard Price Quantity (Rate) 10 sq ft. $ 1.13 per sq. ft. 0.3 hr. $11.20 per hr. 0.3 hr. $ 3.00 per hr. Direct materials (plastic) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead ($ 422,280 + 918,000 units) Skipped 0.90 0.46 eBook Hint Parker Plastic had the following actual results for the past year: References Number of units produced and sold Number of square feet of plastic used Cost of plastic purchased and used Number of labor hours worked Direct labor cost Variable overhead cost Fixed overhead cost 1,120,000 11,800,000 $ 14,160,000 316,000 $ 3,634,000 960,000 $ 373,000 Required: Calculate Parker Plastic's direct labor rate and efficiency variances. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance).) Direct Labor Rate Variance 5 Parker Plastic had the following actual results for the past year: 1 points Number of units produced and sold Number of square feet of plastic used Cost of plastic purchased and used Number of labor hours worked Direct labor cost Variable overhead cost Fixed overhead cost 1,120,000 11,800,000 $ 14,160,000 316,000 $ 3,634,000 $ 960,000 $ 373,000 Skipped eBook Required: Calculate Parker Plastic's direct labor rate and efficiency variances. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance).) Hint References Direct Labor Rate Variance Direct Labor Efficiency Variance