A company reports the following information for its direct labor. Actual hours of direct labor used (AH) 70,000 Actual rate of direct labor per hour (AR) $ 16 Standard rate of direct labor per hour (SR) $ 15 Standard hours of direct labor for units produced (SH) 71,600 AH = Actual Hours SH - Standard Hours AR = Actual Rate SR - Standard Rate Compute the direct labor rate and efficiency variances and identify each as favorable or unfavorable Actual Cost Standard Cost 5 $ 0