Rouse manufactures coffee mugs that it sells to other Actual cost and production information for July companies for customizing with their own logos. Rouse 2024 follows: prepares flexible budgets and uses a standard cost (Click the icon to view actual cost and system to control manufacturing costs. The standard unit cost of a coffee mug is based on static budget volume of production information.) 59,700 coffee mugs per month: Read the requirements. E::3 (Click the icon to view the cost data.) Requirement 1. Compute the cost and efficiency variances for direct materials and direct labor. Begin with the cost variances. Select the required formulas, compute the cost variances for direct materials and direct labor, and identify 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.) Requirement 1. Compute the cost and efficiency variances for direct materials and direct labo Begin with the cost variances. Select the required formulas, compute the cost variances for dir direct labor, and identify whether each variance is favorable (F) or unfavorable (U). (Abbreviatif actual cost; AQ= actual quantity; FOH= fixed overhead; SC= standard cost; SQ= standard Data table More info a. There were no beginning or ending inventory balances. All expenditures were on account. b. Actual production and sales were 62,400 coffee mugs. c. Actual direct materials usage was 10,000lbs. at an actual cost of $0.17 per lb. d. Actual direct labor usage was 203,000 minutes at a total cost of $24,360. e. Actual overhead cost was $4,060 variable and $36,440 fixed. f. Selling and administrative costs were $131,000