Dautrich, Inc. is a privately held furniture manufacturer. For August 2017, Dautrich had the following standards for one of its products, a wicker chair: EEB (Click the icon to view the standards per chair.) The following data were compiled regarding actual performance: actual output units (chairs) produced, 2,800; square yards of input purchased and used, 8,000; price per square yard, $5.20; direct manufacturing labor costs, $9,500; actual hours of input, 950; labor price per hour, $10.00 Read the requirements, Requirement 2. Suppose 10,400 square yards of materials were purchased (at $5.20 per square yard), even though only 8,000 square yards were used. Suppose further that variances are identfied at their most timely control point, accordingly, direct materials price variances are isolated and traced at the time of purchase to the purchasing department rather than to the production department. Compute the price and efficiency variances under this approach. Begin with recalculating the costs using the information provided for the altenative approach. Actual input Data Table Actual cost Budgeted price Flexible budget cost Purchasing Production Standards per Chair 3 square yards of input at 5.10 per square yard 0.5 hour of input at $ 10.10 per hour Now compute the direct materials price and efficiency variances. Label each variance as favorable (F) or unfavorable (U Direct manufacturing labor Price Efficiency variance variance Print Done Direct materials Choose from any list or enter any number in the input fields and then continue to the next