7. The Farr Quality Bathroom Tile Company has developed the following standards for one of its products: Materials Direct labor 3 feet x $9 per foot 2 hours x $11 per hour $27 22 Variable manufacturing overhead 2 hours x $4 per hour 8 Total standard variable cost per unit $57 The company produced 1,200 units and sold all of the units at the budgeted sales price of $85. Additional information is as follows for June: Materials purchased Materials used Direct labor Actual variable manufacturing overhead 4,000 feet at purchase price of $40,000 3,900 feet 2,300 hours for total payroll of $24,150 $9,660 a. Calculate the direct materials price variance. b. Calculate the direct materials quantity variance. c. Calculate the direct labor rate variance. d. Calculate the direct labor efficiency variance. e. Calculate the variable overhead rate variance. f. Calculate the variable overhead efficiency variance. g. If the company has a policy of investigating all variances that exceed $2,000 (both favorable and unfavorable), which variances would the company investigate?