Standard Quantity or Hours Standard Price or Rate Direct materials 8.5kilos $ 6.00per kilo Direct labor 0.4hours $ 20.00 per hour Variable overhead 0.4hours $ 6.00 per hour The company reported the following results concerning this product in August. $ $ Actual output 3.200units Raw materials used in production 29,030kilos Purchases of raw materials 31.600kilos Actual direct labor-hours 1.160hours Actual cost of raw materials purchases $195.920 Actual direct labor cost 22.736 Actual variable overhead cost 7.540 The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when The variable overhead efficiency variance for August is: 5780 F 5780 U $720 U $720 F