estremde WICHTUSES estat costsystemCOLO 200 Datenders ung using square meeror U vinyl purchased at $1.15 per square foot. Production required 420 direct labor hours that cost $12.50 per hour. The direct materials standard was seven square feet of vinyl per fender , at a standard cost of $1.20 per square foot. The labor standard was 0.027 direct labor hour per fender, at a standard cost of $11.50 per hour Read the requirement S Begin with the cost variances. Select the required formulas, compute the cost variances for direct materials and direct labor, and identify whether each variance is favorable (F) or unfavorable (U). (Abbreviations used AC = actual cost, AQ = actual quantity, FOH = fixed overhead, SC = standard cost SQ = standard quantity.) Formula Variance Direct materials cost variance (AC-SC) XAQ S: 7,100F Direct labor cost variance (ACSC) A 420 U Select the required formulas, compute the efficiency variances for direct materials and direct labor, and identity whether each variance is favorable (F) or unfavorable (U). (Abbreviations used: AC = actual cost; AQ = actual quantity. FOH = fixed overhead, SC - standard cost: SQ = standard quantity) Formula Variance Direct materials efficiency variance (AQ - SQ)X SC U Direct labor efficiency variance (AQSQ)X SC F Requirement Compute the cost and efficiency variances for direct materials and direct labor. Does the pattern of variances suggest Best Fender's managers have been making trade-offs? Explain