Question 1 Parker Plastic, Inc., manufactures plastic mats to use with rolling office chairs. Its standard cost information for last year follows: Direct materials (plastic) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead $422,280 +918,000 units) Standard Standard Quantity Standard Price (Rate) Unit Cost 10 sq ft. $ 1.13 per sq. ft. $11.30 0.3 hr. $11.20 per hr. 3.36 0.3 hr $ 3.00 per hr. 0.90 0.46 Parker Plastic had the following actual results for the past year: Number of units produced and sold Number of square feet of plastic used Cost of plastic purchased and used Number of labor hours worked Direct labor cost Variable overhead cost Fixed overhead cost 1,120,000 11,800,000 $ 14,160,000 316,000 $ 3,634,000 $ 960,000 $ 373,000 Required: Calculate Parker Plastic's variable overhead rate and efficiency variances and its over- or underapplied variable overhead. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for Favorable/Overapplied and "U" for Unfavorable/Underapplied.) Variable Overhead Rate Variance Variable Overhead Efficiency Variance Variable Overhead Spending Variance Question 2 Barley Hopp, Inc., manufactures custom-ordered commemorative beer steins. Its standard cost information follows: Standard Quantity 1.70 lbs. 1.70 hrs. Standard Price (Rate) $ 1.80 per lb. $15.00 per hr. $ 1.10 per hr. Standard Unit Cost $ 3.06 25.50 Direct materials (clay) Direct labor Variable manufacturing overhead (based on direct labor hours) Fixed manufacturing overhead ($338,000.00 - 130,000.00 units) 1.70 hrs. 1.87 2.60 Barley Hopp had the following actual results last year: Number of units produced and sold Number of pounds of clay used Cost of clay Number of labor hours worked Direct labor cost Variable overhead cost Fixed overhead cost 135,000 238,200 $ 404,940 180,000 $3,510,000 $ 260,000 $ 350,000 Required: 1. Calculate the direct materials price, quantity, and total spending variances for Barley Hopp. (Do not round your intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable and "U" for unfavorable.) Direct Materials Price Variance Direct Materials Quantity Variance Direct Materials Spending Variance