GrandScapes is a manufacturer of large flower pots for urban settings. The company has these standards: (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. ( = DM price variance ) = i Standards X 16 pounds per pot at a cost of $3.00 per .. pound Direct materials (resin). Direct labor.... .3.0 hours at a cost of $20.00 per hour Standard variable manufacturing overhead rate .. $6.00 per direct labor hour $25,700 Budgeted fixed manufacturing overhead Standard fixed MOH rate.. $9.00 per direct labor hour (DLH) GrandScapes 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 1,100 flower pots: Purchased 18,320 pounds at a cost of $3.10 per pound; Direct materials... ... used 17,820 pounds to produce 1,100 pots Worked 3.5 hours per flower pot (3,850 total DLH) at a Direct labor... .. cost of $19.00 per hour Actual variable manufacturing $6.60 per direct labor hour for total actual variable overhead ..... .... manufacturing overhead of $25,410 Actual fixed manufacturing overhead $25,100 Standard fixed manufacturing overhead allocated based on actual production.. $29,700 Requirements X 1. Compute the direct material price variance and the direct material quantity variance. 2. Who is generally responsible for each variance? 3. Interpret the variances