Superior Fender, which uses a standard cost system, manufactured 20,000 boat fenders during 2024, using 145,000 square feet of extruded vinyl purchased at $1.25 per square foot. Production required 470 direct labor hours that cost $12.50 per hour. The direct materials standard was seven square feet of vinyl per fender, at a standard cost of $1.30 per square foot. The labor standard was 0.026 direct labor hour per fender, at a standard cost of $11.50 per hour. Read the requirement. 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.) Superior Fender, which uses a standard cost system, manufactured 20,000 boat fenders during 2024 square feet of extruded vinyl purchased at $1.25 per square foot. Production required 470 direct labor $12.50 per hour. The direct materials standard was seven square feet of vinyl per fender, at a standar square foot. The labor standard was 0.026 direct labor hour per fender, at a standard cost of $11.50p Read the requirement. Requirement Compute the cost and efficiency variances for direct materials and direct labor. Does the pattern of variances suggest Superior Fender's managers have been making trade-offs? Explain