Quality Fender, which uses a standard cost system, manufactured 20,000 boat fenders during 2018, using 142,000 square feet of extruded vinyl purchased at $1.35 per square foot. Production required 420 direct labor hours that cost $13.00 per hour. The direct materials standard was seven square feet of vinyl per fender, at a standard cost of $1.40 per square foot. The labor standard was 0.023 direct labor hour per fender, at a standard cost of $12.00 per hour. Read the requirement Begin with the cost variances. Select the required formulas, compute the cost variances for direct materials and direct labor, and identity whether each variance is favorable (F) or unfavorable (U). (Abbreviations used: AC actual cost, AQ actual quantity; FOH fixed overhead; SC standard cost: SQ standard quantity.) Direct materials cost variance Direct labor cost variance Formula Variance Requirement Compute the cost and efficiency variances for direct materials and direct labor Does the pattern of variances suggest Quality Fender's managers have been making trade-offs? Explain Print Done