Hollowell Audio, Inc., manufactures military-specification compact discs. The company uses standards to control its costs. The labor standards that have been set for one disc are as follows: Standard Hours 27 minutes Standard Rate per Hour $ 6.00 Standard Cost $ 2.70 During July, 9,325 hours of direct labor time were required to make 19,500 discs. The direct labor cosft totaled $55,018 for the month. Required 1a. According to the standards, what direct labor cost should have been incurred to make the 19,500 discs? (Do not round intermediate calculations.) Total standard direct labor cost 1b. By how much does this differ from the cost that was incurred? (Input the amount as a positive value Do not round intermediate calculations. Leave no cells blank be certain to enter "O" wherever required. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable and "None" for no effect (i.e., zero variance).) Spending variance Click to select) 2. Break down the difference in cost from (1) above into a labor efficiency variance and a labor rate variance. (Input all amounts as positive values. Do not round intermediate calculations. Leave no cells blank - be certain to enter "O" wherever required. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance).) Labor efficiency variance Click to select) Labor rate variance Click to select)