Compute variances for the following items and indicate whether each variance is favorable (F) or unfavorable(U).

tem Budget Actual Variance For U $780 $720,000 $780,000 $385,000 $360,000 $280,000 S180,000 $178,000 950 units 900 units $60,000 $58,700 $96,000 $97,000 $25,000 $40,000 Sales price Sales revenue $800 Material purchases at 5,000 pounds Materials usage Production volume Wages at 4,000 hours Labor usage at $16 per hour Research and development expense Selling and administrative expenses $275,000 $22,000 $49,000