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Complete this question by entering your answers in the tabs below. For direct materials, compute the price and quantity variances. (Indicate the effect of each

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Complete this question by entering your answers in the tabs below. For direct materials, compute the price and quantity variances. (Indicate the effect of each variance by selecting " F " for favorable, "U" for unfavorable, and "None" for no effect (I.e, zero variance). Input all amounts as positive values.) Complete this question by entering your answers in the tabs below. Compute the variable overhead rate and efficlency variancel. (Indicate the effect of each varlance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input alf amounts as positive values.) Becton Labs, Incorporated, produces various chemical compounds for indutrial use. One compound called Fludex is prepared using an etaborate distilling process. The company has developed standard costs for one unit of Fuctex os foliows. During Novembet the following actwity was tecorded related to the production of Fluatex a. Materials purchased, 12.500 ounces at a cost of $282.500 b. There was no beginning inventory of materials, howevec at the end of the month, 3,000 ounces of material remained in ending intrentony c The company employs 26 lab techniclans to work on the production of Fladex. During November, they each worked an average of 150 hours at an awerape pay rate of $1400 per hour d. Variable manulacturing ovorheod is assigned to Fludexion the basis of direct labor-hours Variable manufacturing ovethead costs During Nowembet, the company produced 4.500 unis of Fludex. Required: 1 For disct nuterials. A. Computc the price and quantity variances b. The materials were purchased from a new supplier who is anxious to enter into a lang-tern puichase contract Would you recoinimend that the compary sign the contract? 2 Fot direct tatior A. Compute the rate and efficiency varances. t) In the past the 26 technicans enployed in the production of fludex consisted of 4 sentor techniclans and 22 assistants Daring November, the company experimented with fewer senior technicians and inore assistants in order to rectuce labor costs. Would you recommend that the new tabor mhe be continuted? 3. Compute the variable overhead rate and efficiency variances For direct labor, cornpute the rate and efficiency variances, (Indicate the effect of each variance by selecting "F" for favorable, U: for unfavorable, and -None" for no effect ine, pero variance) Input all amounts as nocitive values.)

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