Variance Analyses----Materials, Labor and Factory Overhead.(CPA, adapted) The Palmtown Furniture Company uses a standard cost system in accounting for its production costs. < The standard cost of a unit of furniture follows: < < Lumber, 100 feet @$150 per 1,000 feet Direct labor, 4 hours @ 2.50 per hour Factory overhead: < Fixed (30% of direct labor) Variable (60% of direct labor). Total unit cost www $15.00 10.00 < $3.00 < 6.00 9.00 < $34.00 < The following flexible monthly overhead budget is in effect: < Direct Labor Hours 5,200..... 4,800. Budgeted Overhead < $10,800 10,200 < 9,600 9,000 8,400 4,400.... 4,000(normal capacity).... 3,600....... The actual data for the month of December follows: < 1,200 finished units < Lumber purchased 150,000 feet @ $120 per 1,000 feet < Lumber used 110 feet per unit < Direct labor 4 1/4 hours per unit @ $2.60 per hour < Fixed Factory overhead $2,655 Variable Factory overhead $7,905 Required: An analysis of each element of the total variance from standard cost for the month of December.