Compute variances for the following items and indicate whether each variance is favorable (F) or unfavorable (U). Item Budget Actual Variance F or U Sales price $650 $525 Sales Revenue $580,000 $600,000 Cost of goods sold $385,000 $360,000 Material purchases at 5,000 lbs $275,000 $280,000 Materials usage $180,000 $178,000 Production volume 950 units 900 units Wages at 4,000 hours $60,000 $58,700 Labor usage at $16 per hour $96,000 $97,000 research and Development exp. $22,000 $25,000 Selling & Admn. expenses $49,000 $40,000