A company reports the following information for its direct labor.

Actual hours of direct labor used	72,000
Actual rate of direct labor per hour	$ 16
Standard rate of direct labor per hour	$ 15
Standard hours of direct labor for units produced	73,300

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.