Standards per chair Uare metros of input purchased and us hour, $10.60. og labour. Give a plausible explanation mounts in the formula and calculate the Dankel, Inc. is a privately heid furniture manufacturer. For August, Dankel had the following standards for one of its products, a wicker chair: Click the icon to view the standards per chair) The following data were compiled regarding actual performance: actual output units (chairs) produced, 2,500; square metres of input purchased and used, 4,700; price per square metre, $5.20; direct manufacturing labour costs, $10,176, actual hours of input, 960 ; labour price per hour, $10,60. Reguired Requirement 1. Show computations of price and efficency variances for direct materiais and direct manufacturing labour Give a plausble explanation of why each variance occurred Lers begin by determining the formula used to calculate the actual costs of direct materials, and then enter the amounts in the formula and calculate the cost. (Round unit costs to the nearest cent. Round the actual cost to the nearest whole dollar.) Required uare metres of input purch hour, $10.60. 1. Show computations of price and efficiency variances for direct materials and direct manufacturing labour. Give a plausible explanation of why each variance occurred. 2. Suppose 7,100 square metres of materials were purchased (at $5.20 per square metre), even though only 4,700 square metres were used. Suppose further that variances are identified at their most timely control point: accordingly, direct materials price variances are isolated and traced at the time of purchase to the purchasing department rather than to the production department. Compute the price and efficiency variances under this approach