Zee Corporation has developed the following cost standards for the production of its leather backpacks: Standard Cost Per Backpack $26.60 $23.00 $26.40 Leather (0.7 yards x $38 per yard) Direct labor (1.0 hours x $23.00 per hour) Variable overhead (1.0 hours x $26.40 per hour) Variable overhead at Zee is applied on the basis of direct labor hours. The actual results for last month were as follows: Number of backpacks produced 6,000 Direct labor hours incurred 5,460 5,320 Yards of leather purchased Yards of leather used in production Cost of leather purchased 4,690 $196,840 $122,031 $146,055 Direct labor cost Variable overhead cost The direct materials purchases variance is computed when the materials are purchased. Required: Compute the following variances for Zee. a. Materials price variance. Materials price variance b. Materials quantity variance. Materials quantity variance c. Labor efficiency variance. Labor efficiency variance d. Variable overhead rate variance. Variable overhead rate variance