Exercise Algo Direct Materials and Direct Labor Variances LO LO

Dawson Toys, Limited, produces a toy called the Maze. The company has recently created a standard cost system to help control costs and has established the following standards for the Maze toy:

Direct materials: microns per toy at $ per micron

Direct labor: hours per toy at $ per hour

During July, the company produced Maze toys. The toy\'s production data for the month are as follows:

Direct materials: microns were purchased at a cost of $ per micron. of these microns were still in inventory at the end of the month.

Direct labor: direct laborhours were worked at a cost of $

Required:

Compute the following variances for July: Indicate the effect of each variance by selecting F for favorable, U for unfavorable, and \"None\" for no effect ie zero variance Input all amounts as positive values. Do not round intermediate calculations. Round final answer to the nearest whole dollar amount.

a The materials price and quantity variances.

b The labor rate and efficiency variances.