Variance Theory (10 points) We discussed the following six (6) variances: 1. Direet materials price variance4. Direct labor efficiency variance 2. Direct materials quantity variance 3. Direct labor rate variance . Variable overhead rate variance 6. Variable overhead efficieney variance For the following descriptions, state which variance would be the PRIMARY variance (that is, the one you know for sure will happen) affected and whether the variance would be favorable (F or unfavorable (U). Use the numbers listed above for your answers. Variance U or F number Union negotiations raised the wages for all factory line workers. Standards are not adjusted to reflect this change. In making curtains, a company actually used 4 yards of material for each curtain. The standard was 4.5 yards. In the past, the 10 people employed in the production of product XYZ consisted of 4 senior workers and 6 assistants. During March the company experimented with 3 senior workers and 7 assistants. Note: this one could have two correct answers (but one is more correct than the other IMHO). Name them both. Scheduled maintenance is not taking place. The factory used less fuel for heating than originally planned because of a warmer-than-normal winter Because of poor planning for the purchase of materials, the materials were shipped via air instead of the more cost efficient ground transportation. Poor quality materials were purchased by the purchasing department. Note: this one could have two correct answers (but one is more correct than the other IMHO). Name them both. Materials are purchased at a lower price than the standard prices