XYZ Manufacturing produces mobile plastic computer carts. For the month of December $2022,$ the company had budgeted to produce $800$ carts based on a standard cost system.The following budgeted unit amounts were established for the manufacture of its deluxe cart:Direct Material per cart:$20$ square meters $($m$?)$$$19$ per square meterDirect Labor per cart:$2\mathrm{.}5$ hours$$28$ per hourAs of December $1,$ there was no inventory of direct material. Work$-$in$-$Process inventories were insignificant throughout the month. The actual results for December $2022$ were as follows:Direct Materials purchased and used $(14,700$ m$2)$ at $$308,700$Direct Labor $(2500$ hours @ $$27$ per hour$)$ at $$67,500$The actual production for December $2022$ was $790$ carts. Asgyme that a constant purchase price for the direct materials existed in December $2022,$ and that all variances are identified as soon as possible.$*$There are $2$ parts to this question below.Required:$1.$ Compute the rate and efficiency variances for direct materials for the month of December. Please state if variances are favourable or unfavourable$\mathrm{.}2.$ Compute the rate and efficiency variances for direct labor for the month of December. Please state if variances are favourable or unfavourable.