Bay Surfboards manufactures fiberglass surfboards. The standard cost of direct materials and direct manufacturing labor is $221 per board. This includes 40 pounds of direct materials, at the budgeted price of $2 per pound, and 10 hours of direct manufacturing labor, at the budgeted rate of $14.10 per hour. Following are additional data for the month of July:

Requirement 1. Compute direct manufacturing labor variances for July. Label each variance as favorable (F) or unfavorable (U).

Price variance
Efficiency variance
Flexible-budget variance

Data Table Units completed Direct material purchases Cost of direct material purchases Actual direct manufacturing labor-hours Actual direct labor cost Direct materials efficiency variance There were no beginning inventories. 5,100 units 220,000 pounds $572,000 47,000 hours $672,100 $1,400 F Print Done