Required information

[The following information applies to the questions displayed below.] A manufactured product has the following information for June.

	Standard	Actual
Direct materials	6 lbs. @ $8 per lb.		48,500	lbs. @ $8.10 per lb.
Direct labor	2 hrs. @ $16 per hr.		15,700	hrs. @ $16.50 per hr.
Overhead	2 hrs. @ $12 per hr.	$	198,000
Units manufactured			8,000

Compute the direct labor rate variance and the direct labor efficiency variance. (Indicate the effect of each variance by selecting for favorable, unfavorable, and no variance. Round "Rate per hour" answers to 2 decimal places.) AH = Actual Hours SH = Standard Hours AR = Actual Rate SR = Standard Rate

Actual Cost			-7850				0	Standard Cost
AH	x	SR		AH	x	AR		SH	x	SR
15,700	x	$16.00		15,700	x	$16.50			x
	$251,200				$259,050
			$7,850	7850			$0
Direct labor rate variance				$7,850
Direct labor efficiency variance				0