Marvel Parts, Inc, manufactures auto accessories. One of the company's products is a set of seat covers that can be adjusted to fit nearly any small car. The company has a standard cost system in use for all of its products. According to the standards that have been set for the seat covers the factory should work 990 hours each month to produce 1980 sets of covers. The standard costs associated with this level of production are Direct materials Direct labor Variable manufacturing overhead (based on direct labor-hours) Total $ 39,798 $ 5,940 Per Set of Covers $20.10 3.00 $ 3,168 1.60 $24.70 During August, the factory worked only 1000 direct labor-hours and produced 2,200 sets of covers the following actual costs were recorded during the month Direct materials (7,400 yards) Direct labor Variable manufacturing overhead Total S49,200 S 8,140 33.960 Per Set of covers $18.50 3.70 1.80 $24.00 At standard, eoch set of cover should require 30 yards of material All of the materials purchased during the month were used in production Required: 1. Compute the materials price and quantity variances for August 2. Compute the labor rote and efficiency variances for August 3. Compute the variable overhead rate and efficiency variances for August (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None for no effectie zero variance), Input all amounts as positive values.) 1. Materials price variance Materials Quantity variance 2 Labor rate variance Labor efficiency variance 3 Variable overhead rate variance Variable overhead officiency vanance Prey Next