Pro fender, which uses a standard cost system, manufactured 20,000 boat fenders during 2024, using 145,000 ft. of extruded vinyl purchased at $1.05 per square foot. production required 410 direct labor hours that cost $15.50 per hour. The direct materials standard was 7 ft. of vinyl per fender, at a standard cost of $1.10 per square foot. The labor standard was 0.026 direct labor hour per fender, at a standard cost of $14.50 per hour.

begin with the cost variances. select the required formulas, compute the cost variance is for direct materials and direct labor, and identify whether each variance is favorable or unfavorable.

Formula Variance 11 = Direct materials cost variance 11 II Direct labor cost variance