ayout References Mailings Review View Help he Internet can contain viruses. Unless you need to edit, it's safer to stay in Protected View. Enable Editing Question 1 Mega Toys has developed a new toy called the Brainbuster. The company has a standard cost system to help control costs and has established the following standards for the Brainbuster toy: Direct materials: 8 diodes per toy at $0.30 per diode Direct labour: 1.2 hours per toy at $7 per hour During August, the company produced 5,000 Brainbuster toys. Production data on the toy for August follow: Direct materials: 70.000 diodes were purchased at a cost of $0.28 per diode. 20.000 of these diodes were still in inventory at the end of the month Direct labour: 6,400 direct labour-hours were worked at a cost of $48,000. Required: a) Calculate direct materials price and efficiency variances. Prepare a briefexplanation of the possible causes of each variance . You may utilize following formulas: Direct Material Price Variance Standard Price - Actual Price x Dual Purchased Direct Material Efiriemy Varie - Standard Quantity for denial Output-dchal Quwwity for detal Ouputx Standard Price Pro