indicate that for the number of bags of frozen fries produced, the factory should have used 101,000 pounds of potatoes and 2,200 hours of direct labor. Read the requirements. nearest cent and your answers to the nearest whole dollar. Label the variances as favorable (F) or unfavorable (U). Abbreviations used: DM = Direct materials.) Begin by determining the formula for the price variance, then compute the price variance for direct materials. (1()=DMpricevariance)= Determine the formula for the quantity variance, then compute the quantity variance for direct materials. Requirement 2. Think of a plausible explanation for the variances found in Requirement 1. One plausible explanation is that Curly bought price, which resulted in the price variance. However, because the potatoes were As a result, the manufacturing facility potatoes than standards allow. This accounts for the efficiency variance. Requirement 2. Think of a plausible explanation for the variances found in Requirement 1. One plausible explanation is that Curly bought price, which resulted in the price variance. However, because the potatoes were e manufacturing facility potatoes than standards allow. This accounts for the efficiency variance. Requirement 3. Determine the direct labor rate higher lower grade potatoes at a higher ositive numbers. Enter currency amounts to the nearest cent and your answers to the nearest whole dolla Label the variances as favorable (F) or unfavori lower grade potatoes at a cheaper Begin wth the the direct labor rate variance. Fir: compute the rate variance for direct labor. quirement 2 . Ihink of a plausible explanation for the varlances found in Requirement 1 . e plausible explanation is that Curly bought price, which resulted in the price variance. However, because the potatoes were As a result, the manufacturing f potatoes than standards allow. This accounts for the efficiency variance. quirement 3. Determine the direct labor rate and efficiency variances. (Enter the variances as positive numbers. I the nearest cent and your answers to the nearest whole dollar. bel the variances as favorable (F) or unfavorable (U). Abbreviations used: DL= Direct labor.) gin wth the the direct labor rate variance. First determine the formula for the rate variance, then compute the rate ' One plausible explanation is that Curly bought price, which resulted in the price variance. However, because the potatoes were As a result, the manufacturing facility potatoes than standards allow. This accounts for the ; as positive numbers. Enter currency amounts to the nearest cent and your answers to the nearest whole c higher grade, some of the potatoes were larger than normal then compute the rate variance for direct labor. lower grade, some of the potatoes were bad, and could not be used in production ) = DL rate variance Requirement 2 . Think of a plausible explanation for the variances found in Requirement 1. One plausible explanation is that Curly bought price, which resulted in the price variance. However, because the potatoes were As a result, the manufacturing facility potatoes than standards allow. This accounts for the efficiency variance. Requirement 3. Determine the direct labor rate and efficiency variances. (Enter the variances as positive numbers. Enter c nt and your answers to the nearest whole d Label the variances as favorable (F) or unfavorable (U). Abbreviations used: DL= Direct labor.) Begin wth the the direct labor rate variance. First determine the formula for the rate variance, then compute the rate varian, ([])= DL rate varii One plausible explanation is that Curly bought price, which resulted in the price variance. However, because the potatoes were As a result, the manufacturing facility potatoes than standards allow. This accounts for the efficiency variance. avorable (F) or unfavorable (U). Abbreviations used: DL = Direct labor.) favorable labor rate variance. First determine the formula for the rate variance, then compute the rate variance for direct labor. unfavorable Now determine the direct labor efficiency variance. First determine the formula for the efficiency variance, then compute the efficiency variance for direct labor. Requirement 4. Could the explanation for the labor variances be tied to the material variances? Explain. The labor rate and efficiency variances be tied to the material variances. For example, if the material variances were the result of purchasing then the factory would use labor in sorting the potatoes. As a result, they would have had to pay workers Now or efficiency variance. First determine the formula for the efficiency variance, then compute the efficiency variance for direct labor. favorable (()=DLefficiencyvariance)= Requ unfavorable xplanation for the labor variances be tied to the material variances? Explain. The labor rate and efficiency variances be tied to the material variances. For example, if the material variances were the result of purchasing then the factory would use labor in sorting the potatoes. As a result, they would have had to pay workers Now determine the direct labor efficiency variance. Fir: ula for the efficiency variance, then compute the efficiency variance for direct labor. ((could)=)= Requirement 4. Could the explanation for the labor va could not material variances? Explain. The labor rate and efficiency variances be tied to the material variances. For example, if the material variances were the result of purchasing then the factory would use labor in sorting the potatoes. As a result, they would have had to pay workers Requirement 4. Could the explanation for the labor variances be tied to the material variances? Explain. higher grade potatoes lower grade potatoes The labor rate and efficiency variances be tied to the material variances. For example, if the material variances were the result of purchasing then the factory would use labor in sorting the potatoes. As a result, they would have had to pay workers )= ariance. First determine the formula for the efficiency variance, then compute the efficiency variance for direct labor. less more )=DLefficiencyvariance)= the same amount of the labor variances be tied to the material variances? Explain. variances be tied to the material variances. For example, if the material variances were the result of purchasing then the factory rould use labor in sorting the potatoes. As a result, they would have had to pay workers Now determine the direct labor efficiency variance. First determine the formula for the efficiency variance, then c r direct labor. (()=DL)=anovertimepremiumforfewerhours Requirement 4. Could the explanation for the labor variances be tied to the material variances? Explain. The labor rate and efficiency variances be tied to the material variances. For example for their normal hours would use labor in sorting the potatoes. As a result, they would have had to pay workers