Cost Variances (15 pts.) Figaro Company manufactures embroidered jackets. The company uses a standard cost system to control manufacturing costs. The following data represent the standard costs of a jacket: Direct Materials (3 ft2 x $3.95/ft) $11.85 Direct Labor (2 hrs x $9.20/hr) $18.40 Variable OH (2 hrs x.60/hr) $1.20 Fixed OH (2 hrs x $2.30/hr $4.60 Fixed overhead in total was budgeted to be $63,600 for each month. Actual data for November of the current year include the following: a. Actual production was 13,800 jackets. b. Actual direct materials usage was 2.50 square feet per jacket at an actual cost of $4.10/ft. C. Actual direct labor usage of 25,400 hours for a total cost of $238,760. d. Actual fixed overhead cost was $59,202, while actual variable overhead cost was $19,050. Requirements 1. Compute the price and quantity variances for direct materials. 2. Compute the rate and efficiency variances for direct labor. 3. Compute the rate and efficiency variances for variable overhead. 4. Compute the fixed overhead budget variance and the fixed overhead volume variance. 5. Give a reason for any variance over $3,000 6. Journalize the usage of DM and the assignment of DL, and the related variances. Short Answers 1. Given the following totals for the various sections of your company's cash flow statement: Operating activities of ($75,000) Investing activities of $50,000 Financing activities of $35,000 Total cash flows $10,000 Would you be satisfied with this cash flow statement? Give two reasons to support your answer (4 pts)