7. Coral Musio manufactures harmonicas. Coral uses standard costs to judge pertormance. Flecenthy, a clerk mistakenty threw away some of the records, and only partial data for July exist. Coral knows that the fotal drect labor variance for the month was $390F and that the standard labor rate was $12 per hour. A recent pay out caused a favorable labor rate variance of $0.40 per hour. The standard direct labor hours for actual July outputs were 4,600 . Read the reguiraments. Roquirement 1. Find the actual number of direct labor hours worked during July. First, find the actual direct labor price rate per hour. Then, determine the actual number of drect labor hours warked by setting up the computation of the total direct labor variance as given. Select the formula, then calculate the actual price per hour. Determine the actual number of direct labor hours worked by setting up the computation of the botal direct labor variance as given. (Enter the known amounts, then determine the missing amounts to solve for the actual direct labor hours. Enter the amounts as positive numbers. Label the variance as favorable (F) or undaworable (U)-) Requirement 2. Compute the direct labor rate and efficiency varianoes. Do these variances suggest that the manager may have made trade-otts? Explain. (Enter the variances as posithe numbers. Enber currency amounts to the nearest cent and your answers to the nearest whole dollar. Label the variances as favorable (F) or undavorable (U). Abbreviations used: DL = Drect labor.) Begin by determining the formula for the price variance, then compute the price variance for drect labor. x((1)=DLmatevariance= Now determine the formula for the efficiency variance, then compute the efficiency variance for direct labor. Do these variances suggest that the manager may have made trade-olis? Explain. The (12) drect labor rate variance combined with the (13) drect labor ethiciency variance suggests that the manager may have used (14) workers. However, due to the overall net eflect, it appears there was (15) 1: Requirements 1. Find the actual number of direct labor hours worked during July. First, find the actual drect labor rate per hour. Then, determine the actual number of direct labor hours worlbed by setting up the computation of the botal direct labor variance as given. 2. Compute the drect labor rate and efficiency variances. Do these variances suggest that the manager may have made trade-affs? Explain