All$-$Star Fender, which uses a standard cost system, manufactured

$20,000$ boat fenders during $2016,$using $143,000$ square feet of

extruded vinyl purchased at $$1\mathrm{.}15$ per square foot. Production

required $430$ direct labor hours that cost $$16\mathrm{.}00$ per hour. The

direct materials standard was seven square feet of vinyl per

fender, at a standard cost of $$1\mathrm{.}20$ per square foot. The labor

standard was $0\mathrm{.}024$ direct labor hour per fender, at a standard cost

of $$15\mathrm{.}00$ per hour. Compute the cost and efficiency variances for

direct materials and direct labor. Does the pattern of variances

suggest All$-$Star Fender's managers have been making trade$-$offs?

Explain.Begin with the cost variances. Select the required formulas,

compute the cost variances for direct materials and direct labor,

and identify whether each variance is favorable $($F$)$ or

unfavorable $($U$).($Abbreviations used: AC $=$ actual

$$cost; AQ $=$ actual $$quantity; FOH $=$ fixed

$$overhead; SC $=$ standard $$cost; SQ $=$ standard

$$quantity$.)$