Ballona Bay Surfboards manufactures fiberglass surfboards. The standard cost of direct materials and direct manufacturing labor is $176 per board. This includes 25 pounds of direct materials, at the budgeted price of $2 per pound, and 9 hours of direct manufacturing labor, at the budgeted rate of $14.00 per hour. Following are additional data for the month of July: (Click the icon to view the data.) Read the requirements Requirement 1. Compute direct manufacturing labor variances for July Label each variance as favorable (F) or unfavorable (U). Price variance $ 36,000 U Efficiency variance 107,800 F Flexible-budget variance $ 71,800 Requirement 2. Compute the actual pounds of direct materials used in production in July. Begin by computing the number of pounds represented by the direct materials efficiency variance. Determine the formula, then complete the computation. Direct materials efficiency variance Budged price per pound 1,700 2 Variance (pounds) Next, compute the budgeted pounds allowed for the output achieved. Determine the formula, then complete the computation. Pounds allowed