Materials and manufacturing labour variances, standard costs. Con- sider the following selected data regarding the manufacture of a line of up- holstered chairs: Direct materials Direct manufacturing labour Standards per Chair 2 square metres of input at $10 per square metre 0.5 hour of input at $20 per hour The following data were compiled regarding actual performance: ac- tual output units (chairs) produced, 20,000; square metres of input pur- chased and used, 37,000; price per square metre, $10.20; direct manufactur- ing labour costs, $176,400; actual hours of input, 9,000; labour price per hour, $19.60. REQUIRED 1. Show your computations on the price and efficiency variances for direct materials and for direct manufacturing labour. Give a plausible explana- tion of why the variances occurred.