Barley Hopp, Inc., manufactures custom-ordered commemorative beer steins. Its standard cost information follows:

	Standard Quantity		Standard Price (Rate)			Standard Unit Cost
Direct materials (clay)	1.70	lbs.	$	1.80	per lb.	$	3.06
Direct labor	1.70	hrs.	$	12.00	per hr.		20.40
Variable manufacturing overhead (based on direct labor hours)	1.70	hrs.	$	1.10	per hr.		1.87
Fixed manufacturing overhead ($425,500.00 185,000.00 units)							2.30

Barley Hopp had the following actual results last year:

Number of units produced and sold

190,000

Number of pounds of clay used

348,200

Cost of clay

$

661,580

Number of labor hours worked

235,000

Direct labor cost

$

3,901,000

Variable overhead cost

$

370,000

Fixed overhead cost

$

415,000

2. Calculate the direct labor rate, efficiency, and total spending variances for Barley Hopp.

Calculate the direct labor rate, efficiency, and total spending variances for Barley Hopp. (Do not round your intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance).)

Direct Labor Rate Variance
Direct Labor Efficiency Variance
Direct Labor Spending Variance