Working Backward from Variances On May 1, 20XX, Bovar Company began the manufacture of a ne known as "Dandy" The company installed a standard cost system nechanical manufacturing costs. The standard costs for a unit of "Dandy" are as fo l device for 10-21 $6.00 4.00 Raw materials.... bs. $1 per lb. Direct labor.... hour@ $4 per hour Overhead 75% ofdirect labor costs -3.00 $13.00 The following data were obtained from Bovar's records for the month of May: Units Actual production of "Dandy'... 4,.0 Units sold of"Dandy "... 2,500 Credit $50,000 Debit Sales Purchases (26,000 pound. ...$2730 Material price varian c.1,300 Material quantity varianc.1,000 Direct labor rate variance.... 760 Direct labor usage variance 800 Th e amount shown above for material price variance is applicable to raw mat purchased during May ena Compute each of the following items for Bovar for the month of May tions in good form. (a) Standard quantity of raw materials allowed (in pounds). (b) Actual quantity of raw materials used (in pounds). (c) Standard hours allowed. (d) Actual hours worked. e) Actual direct labor rate