Deluxe Guard , which used a standard cost accounting system, manufactured 230,000 boat fenders during the year.l, using 1,480,000 feet of extruded vinyl purchased at $1.50 per foot. Production required 4,700 direct labor hours that cost $15.00 per hour. the materials standard was 6 feet of vinyl per fender at a standard cost of $1.65 per foot. The labor was 0.023 direct labor hour per fender at a standard cost of $13.50 per hour. .

MEM E S (Assume that the quantity of materials purchased is equal to the quantity of mate D = DM price variance = Requirements Compute the price and quantity variances for direct materials. Compute the rate and efficiency variances for direct labor. Does the pattern of variances suggest that the company's managers have been making trade-offs? Explain. 2. Print Done Answer. Clear All Requirement 1. Compute the price and quantity variances for direct materials. Compute the rate and efficiency variances for direct labor. (Enter the variances as positive numbers. Enter Abbreviations used DM = Direct materials, DL = Direct labor.) Begin with the variances for direct materials. First, determine the formula for the direct materials price variance, then compute the price variance for direct materials. (Assume that the quar DM price variance XL x