Longman, Inc. manufactures lead crystal glasses. The standard direct labor time is 0.2 hour per glass, at a cost of $17 per hour. The actual results for one month's production of 7,100 glasses were 0.4 hours per glass, at a cost of $14 per hour. Calculate the direct labor cost variance and the direct labor efficiency variance. Select the formula, then enter the amounts and compute the cost variance for direct labor and identify whether the variance is favorable (F) or unfavorable (U). ( Actual Cost - Standard Cost ) x Actual Quantity - Direct Labor Cost Variance Select the formula, then enter the amounts and compute the efficiency variance for direct labor and identify whether the variance is favorable (F) or unfavorable (U). ( Actual Quantity - Standard Quantity v = Direct Labor Efficiency Variance ) x ) x Actual Cost Actual Quantity Standard Cost Standard Quantity Use the following information to prepare a standard cost income statement for Watson Company for 2018. (Use a minus sign or parentheses to enter any contra expenses. Enter all other amounts as positive numbers.) .: (Click the icon to view the information.) Watson Company Standard Cost Income Statement For the Year Ended December 31, 2018 * Data Table $ 17,000 F 3,500 U Cost of Goods Sold (at standard) Sales Revenue (at standard) Direct Materials Cost Variance Direct Materials Efficiency Variance Direct Labor Cost Variance Fixed Overhead Cost Variance $ 368,000 540,000 7,300 U 2,800 U 47,000 U 1,200 F Direct Labor Efficiency Variance Variable Overhead Efficiency Variance Fixed Overhead Volume Variance Selling and Administrative Expenses Variable Overhead Cost Variance 11,800 F 79,000 900 F Print Done Gross Profit Operating Income