Question 3, E10-33A (similar to) HW Score: 0%, 0 of 10 points Homework: Chapter 10 Part 1 of 8 Points: 0 of 1 Ceramics Etc. is a manufacturer of ceramic bottles. (Click the icon to view the standards.) (Click the icon to view the actual results.) Requirements 1. Compute the direct labour price variance and the direct labour efficiency variance. 2. What is the total flexible budget variance for direct labour? 3. Who is generally responsible for each variance? 4. Interpret the variances. Requirement 1. Compute the direct labour price variance and the direct labour efficiency variance. First, determine the formula for the price variance, then compute the price variance for direct labour. (Enter the result as a positive number. Round your answer to the nearest whole dollar. Label the variance as favoura unfavourable (U).) ) x Price variance X Data table Data table The company has these standards: Last month, Ceramics Etc. reported the following actual results for the production of 74,000 bottles: Direct materials (clay) . . . . . . . . 1 kg per bottle, at a cost of $0.46 per kg Direct labour 1/5 hour per bottle, at a cost of $14.40 per hour Direct materials . . . . . . . . 1.15 kg per bottle, at a cost of $0.50 per kg Static budget variable overhead $71,400 Direct labour . . 1/4 hour per bottle, at a cost of $13.40 per hour Static budget fixed overhead $29,580 Actual variable overhead $ 104,900 Static budget direct labour hours Actual fixed overhead . . . 10,200 hours . . . . . . . . . . . . . $28,500 Static budget number of bottles . . . . . . . 51,000 Ceramics Etc. allocates manufacturing overhead to production based on standard direct labour hours . Print Done Print Done