Rouse Recliners manufactures leather recliners and uses flexible budgeting and a standard cost system. Rouse Recliners allocates overhead based on yards of direct materials. The company's performance report includes the following selected data:

lew the selected data

Read the requirements.

$\backslash$table$[[$Actual Units $($Recliners$),,,,780],[$Sales Revenue,$$,500\mathrm{.}00,$$$,390,000],[$Variable Manufacturing Costs:$],[$Direct Materials,,$48\mathrm{.}00,,37,440],[$Direct Labor,,$82\mathrm{.}80,,64,584],[$Variable Overhead,,$30\mathrm{.}60,,23,868],[$Fixed Manufacturing Costs:$],[$Fixed Overhead,,,,$62,730],[$Total Cost of Goods Sold,,,,$188,622],[$Gross Profit,,,$$,201,378]]$

overhead efficiency, fixed overhead cost, and fixed overhead volume variances. Round to the nearest dollar. amount you enter.$)$

Formula

Variance

Direct materials cost variance $==$

Direct labor cost variance

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Rouse Recliners manufactures leather recliners and uses flexible budgeting and a standard cost system. Rouse Recliners allocates overhead based on yards of direct materials. The company's periormance report includes the following selected data:

liew the selected datal

Read the requirements.

$\backslash$table$[[$Actual Units $($Recliners$),,,,780],[$Sales Revenue,$$,500\mathrm{.}00,$$$,390,000],[$Variable Manufacturing Costs:$],[$Direct Materials,,$48\mathrm{.}00,,37,440],[$Direct Labor,,$82\mathrm{.}80,,64,584],[$Variable Overhead,,$30\mathrm{.}60,,23,868],[$Fixed Manufacturing Costs:$],[$Fixed Overhead,,,,$62,730],[$Total Cost of Goods Sold,,,,$188,622],[$Gross Profit,,,$$,201,378]]$

Requirement $2.$ Compute the cost variance and the efficiency variance for direct materials and for direct labor. For manufacturing overhead, compute the variabletoverhead cost, variable overhead efficiency, fixed overhead cost, and fixed overhead volume variances. Round to the nearest dollar.

Begin with the cost variances. Select the required formulas, compute the cost variances for direct materials and direct labor. $($Round your answers to the nearest whole dollar. Abbreviations used: $AC=$ actual cost; $AQ=$ actual quantity; FOH$=$ fixed overhead; $SC=$ standard cost; SQA$=$ standard quantity allowed. Label the variance as favorable $($F$)$ or unfavorable $(U),$ in the input field after the amount you enter.$)$

$\backslash$table$[[,$Formula,Variance$],[$Direct materials cost variance,$=|$~$|,=1$