Elegance is a manufacturer of large flower pots for urban settings. The company has these standards: B (Click the icon to view the standards.) Click the icon to view the actual results.) Read the requirements. Requirement 1. Compute the direct material price variance and the direct material quantity variance. (Enter the variances as positive numbers. Enter currency amounts in the formula to the nearest cent and then round the final variance amount to the nearest whole dollar. Label the variance as favorable (F) or unfavorable (U). Abbreviations used: DM = Direct materials) First determine the formula for the price variance, then compute the price variance for direct materials. Actual quantity purchased * Actual price Standard price DDM price variance 13,440 4.20 4.00 ) - $ 2,688 U Determine the formula for the quantity variance, then compute the quantity variance for direct material. Standard price * Actual quantity used Standard quantity allowed DM quantity variance 4.00 12,840 F *($ Direct materials (resin) Direct labor Standard variable manufacturing overhead rate Budgeted fixed manufacturing overhead Standard fixed MOH rate 10 pounds per pot at a cost of $4.00 per . pound 4.0 hours at a cost of $21.00 per hour $4.00 per direct labor hour $35,400 $8.00 per direct labor hour (DLH) .......... Elegance allocated fixed manufacturing overhead to production based on standard direct labor hours. Last month, the company reported the following actual results for the production of 1,200 flower pots: Purchased 13,440 pounds at a cost of $4.20 per pound; Direct materials ... used 12,840 pounds to produce 1,200 pots Worked 4.5 hours per flower pot (5,400 total DLH) at a Direct labor cost of $19.00 per hour Actual variable manufacturing $4.70 per direct labor hour for total actual variable overhead manufacturing overhead of $25,380 Actual fixed manufacturing overhead $35,100 Standard fixed manufacturing overhead allocated based on actual production $38,400