Quality Guard, which used a standard cost accounting system, manufactured 170,000 boat fenders during the year, using 1,410,000 feet of extruded vinyl purchased at $1.50 per foot. Production required 4,700 direct labor hours that cost $16 per hour. The materials standard was 8 feet of vinyl per fender at a standard cost of $1.55 per foot. The labor standard was 0.028 direct labor hour per fender at a standard cost of $15.50 per hour. Read the requirements. Requirement 1. Compute the price and quantity variances for direct materials. Compute the rate and efficiency variances for direct labor. (Assume that the quantity of materials purchased is equal to the quantity of materials used. Enter the variance as a positive number. Round your answers to the nearest whole dollar. Label the variances as favorable (F) or unfavorable (U).) The direct materials price variance is The direct materials quantity variance is The direct labor rate variance is The direct labor efficiency variance is Requirement 2. Does the pattem of variances suggest that the company's managers have been making trade-offs? Explain. The The direct materials price variance combined with the direct materials quantity variance suggests that managers may have used materials. The net effect is direct labor rate variance combined with the direct labor efficiency variance suggests that managers may have used workers who performed more efficiently. The net effect is Requirements 1. 2. Compute the price and quantity variances for direct materials. Compute the rate and efficiency variances for direct labor. Does the pattern of variances suggest that the company's managers have been making trade-offs? Explain.