The Sulivan Corporakon manutactures lamps; It has set up the folowing standards per finished unit for diect materials and deect inanufachating labour 227 (Cick the icen bo yerw the standards) The number of finished unis budgeted for danaary was 9,950,9,900 units wese actusly produced isolated upon purchase Ingut-efficiency varances bee isolated at the time of usage Resingd Standards Direct matnnals 10kg at $4E ped kg Disect manufackuning labour 0.5 hour at $32 per hour Actual Data Actual resuits in January were as follows. Deect maserias 97,500kg used Deect manufactaring labour 4900 hours Required 1. Compute the Jantury pnce and efficiency wariances of diect matenals and Erect manufscturing labour 2. Piepare purnal ontres to record the vanances in requirement 1 3. Commert on the Januaty porice and officincy variances of Sulivan Corporation 4. Why mught suirvan cakulate-direct malerials price varuaces and drect materials efficioncy varancos with iefezence to diflotent points in time? Requirement 1. Compute the January price and efficiency variances of direct materials and dizect manufacturing labour Ler's begin by calculating the actual input at the budgeted price (Round your answers to the nearest whole dollar) Now, compute the price and efficincy varances for direct matesals and direct manulactuing labour Label each variance as favourable (F) or unfavi Requirement 2. Prepare jourmal entries to record the variances in requirement 1 Prepare the joumal entry for the direct materials price variance (Record dotits first, then ceodits. Exclude explanations trom any joumar entries) Next, prepare the journal entry for direct materials efficiency variance. Now, prepare the journal entry for direct manufacturing labour price and efficiency variances Fequirement J. Chenenent on the Jerusy price and efficency varances of Sulwar Copporaton The purchiking point s where respeces bity for is found mont atos The producton point is whee resporsibety tor caciale vainces if difterent portis is titie to the in with is foume anst often 5 ullval Coporatno may