Headsound manufactures headphone cases. During September 2024, the company produced and sold 108,000 cases and recorded the following cost data Click the icon to view the cost data.) Read the requirements Requirement 1. Compute the cost and efficiency variances for direct materials and direct labor 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 SO standard quantity.) Direct materials cost variance Direct labor cost variance Formula (AC-SC) AQ (AQ-SQ) AC Variance Data table Standard Cost Information Direct Materials Direct Labor Variable Manufacturing Overhead Quantity Cost 2 parts 0.02 hours $0.16 per part 14.00 per hour 0.02 hours 11 per hour Fixed Manufacturing Overhead ($33,320 for static budget volume of 98,000 units and 1,960 hours, or $17 per hour) Actual Cost Information Direct Materials Direct Labor Variable Manufacturing Overhead Fixed Manufacturing Overhead (215,000 parts @ $0.21 per part) (1,660 hours @ $14.10 per hour) $ 45,150 23,406 11,000 28,000 Print Done - X (F) C Requirement 2. For manufacturing overhead, compute the variable overhead cost and efficiency variances and the fixed overhead cost and volume variances We are told in the problem that the actual variable overhead (VOH) amounted to $15,000. To determine the VOH cost variance, then, we can subtract the "SC AQ" from the actual VOH. Once again, before we go ahead and make the cost and efficiency computations for VOH, let's identify the amounts needed to complete those calculations. We're given the actual quantity at actual cost ($15,000), and the standard cost per hour ($11). Note that variable overhead is applied based on direct labor hours. The actual quantity (AQ) and standard quantity (SQ) amounts, thon, are the same as those we determined when accumulating the information for direct labor. These amounts have been entered into the table for you Variable Overhead Actual quantity at Actual cost (Actual VOH] Standard cost (SC) Actual quantity (AQ) Standard quantity (SQ) Skip ahead Calculator e this Etext pages Get more help per he 1,660 hours 2,160 hours Clear all Check answer Clear all Check answer