Allan Ltd manufactures gardening equipment. At a recent staff meeting, the following direct labour variance report for the past year was presented by the management accountant: ALLAN LTD Direct Labour Variance Report Direct Labour Rate Variance Direct Labour Eff Variance Percentage of standard S 1,870 F 10,010 F 450 U 4,260 U 7,850 F 8,050 F 8,660 F 10,440 F 9,840 F 11,670 F 8,650 F 8,830 F cost 0.33 1.15 0.19 0.57 0.93 0.95 1.01 1.19 S 12,900 U 17,600 U 22,900 U 29,000 U 43,700 U 37,300 U 57,700 U 78,900 U 77,200 U 87,400 U 123,400 U 107,500U Percentage of standard cost 1.17 1.67 2.11 2.73 4.19 3.57 5.87 7.77 7.57 8.57 12.17 10.57 February March April May July August September October 1.31 1.01 1.03 Allan Ltd's management accountant uses the following rule of thumb: investigate all variances equal to or greater than $60,000 or 6 per cent of standard cost. Required 1. Which variances would have been investigated during the year? (Indicate month and type of variance.) 2. What characteristics of the variance pattern shown in the report should draw the accountants attention, regardless of the usual investigation rule? 3. Which of the following is the best reason to also follow up on favorable variances? Complete this question by entering your answers in the tabs below Required Required 2Required 3 Which variances would have been investigated during the year? (Indicate month and type of variance.) (Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "O" for no effect (l.e., zero varlance).) Round Percentage of Standard Cost" to 2 decimal places.) Percentage o Standard Cost Variance Type Month Amount