Headstart manufactures headphone cases. During September $2024,$ the company produced and sold $106,000$ 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.

$SC=$ standard cost; $SQ=$ standard quantity.$)$

Data table

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Requirements

Compute the cost and efficiency variances for direct materials and direct

labor.

For manufacturing overhead, compute the variable overhead cost and

efficiency variances and the fixed overhead cost and volume variances.

Headstart's management used better quality materials during September.

Discuss the trade$-$off between the two direct material variances.