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Dixon Productions uses a standard cost system for recording transactions. The following data was reported for the year ended December 31: Sales revenues: $500,000 Cost

Dixon Productions uses a standard cost system for recording transactions. The following data was reported for the year ended December 31: Sales revenues: $500,000 Cost of goods sold (standard costing): $100,000 Selling & administrative expenses: $51,000 Variances: Sales revenue variance Direct materials cost variance Direct materials efficiency variance Direct labor cost variance Direct labor efficiency variance Variable overhead cost variance Variable overhead efficiency variance Fixed overhead cost variance Fixed overhead volume variance $140 F 200 F 240 U 100 U 180 F 245 F 50 F 70 F 140 U What is the net effect of the manufacturing cost variances on a standard cost income statement? A. $405 F OB. $265 U C. $405 U D. $265 F

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