Exercise 15-5A (Algo) Determining amount and type (favorable vs. unfavorable) of variance LO 15-3 Required Compute variances for the following items and indicate whether each variance is favorable (F) or unfavorable (U) (Select "None" 11 there is no effect (ie, zero variance).) Actual Variance For U Item Sales price Sales revenue Cost of goods sold Material purchases at 5,000 pounds Materials usage Production volume Wages at 4,000 hours Labor usage at $16 per hour Research and development expense Selling and administrative expenses Budget $ 670 $ 590,000 $ 400,000 $ 285,000 195,000 lbs 1,050 units $ 62,000 $ 97,000 $ 32,000 $ 64,000 lbs $ 535 $ 620,000 $ 370,000 $ 295,000 188,000 lbs 950 units $ 59,700 $ 99,000 $ 40,000 $ 50,000 units