Q3 (Marks 10) Garner Company makes a perfume called Frangi. The standard cost for one bottle of Frangi is as follows: Standard Manufacturing Cost Elements Quantity Price Cost $0.90 $12.00 $4.80 $5.40 $6.00 $2.40 $13.80 Direct materials 6 oz Direct Labour 0.5 hrs Manufacturing Overheads Standard Cost per unit 0.5 hrs During the month, the following transactions occurred in manufacturing 10,000 bottles of Frangi 1. 58,000 ounces of materials were purchased at $1.00 per ounce. 2. All the materials purchased were used to produce the 10,000 bottles of Frangi 3. 4,900 direct labour hours were worked at a total labour cost of $56,350 4. Variable manufacturing overhead incurred was $15,000 and fixed manufacturing overhead incurred was $10,400 The manufacturing overhead rate of $4.80 is based on normal capacity of 5,200 direct labour hours. The total budget at this capacity is $10,400 fixed and $14,560 variable. Required a) Compute the total variances for direct materials & direct labour as well as for its elements. (8 Marks) b) Compute the total variance for manufacturing overheads. (2 Marks) Note: Please indicate whether the variances are favourable (F) or unfavourable (U)