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The production superintendent was pleased when he saw this report and commented: "This $0.73 excess cost is well within the 4 percent IImit management has set for acceptable varlances. It's obvious that there's not much to worry about with this product." Actual production for the month was 18,000 units. Varlable overhead cost is assigned to products on the basis of direct labor-hours. There were no beginning or ending inventorles of materlals. Required: 1. Compute the following varlances for May: a. Materlals price and quantity varlances. b. Labor rate and efficiency varlances. c. Varlable overhead rate and efficiency varlances. 2. How much of the $0.73 excess unit cost is traceable to each of the varlances computed in requirement 1. 3. How much of the $0.73 excess unit cost Is traceable to apparent inefficient use of labor time? Complete this question by entering your answers in the tabs below. 1a. Compute the following variances for May, materials price and quantity variances. 1b. Compute the following variances for May, labor rate and efficiency variances. 1c. Compute the following variances for May, variable overhead rate and efficiency variances. Note: Indicate the effect of each variance by selecting "F" for favorable, " U " for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values

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