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Javonte Co. set standards of 2 hours of direct labor per unit of product and $16.50 per hour for the labor rate. During October, the company uses 13,800 hours of direct laborat a $230,460 total cost to produce 7100 units of product. In November, the company uses 17.800 hours of direct labor at a $298,150 total cost to produce 7,500 units of product AH = Actual Hours SH - Standard Hours AR = Actual Rate SR Standard Rate (1) Compute the direct labor rate variance, the direct labor efficiency variance, and the total direct labor cost variance for each of these two months. Classify each variance as favorable or unfavorable. (2) Javonte investigates variances of more than 5% of actual direct labor cost. Which direct labor variances will the company investigate further? Compute the direct labor rate variance, the direct labor efficiency variance, and the total direct labor cost variance for each of these two months. Classify each variance as favorable or unfavorable. (Indicate the effect of each variance by selecting for favorable, unfavorable, and no variance.) October Actual Cost AR SR Standard Cost SH X 14.2001 X $ 234,300 13.800 X $ 10.70 5 10.50 $ 230.460 $ 0 S 0 Direct labor rate variance Direct labor efficiency variance Direct materials price variance Unfavorable Favorable 3,840 Favorable 5 November Actual Cost Standard Cost AH AR SH SR 0 5 10.50 $ 200.150 $ Direct labor rate variance Direct labore ency variance Direct materias price variante Unfavorable Unfavorable 3,840 unfavorable Required 2 >