Fresh Bites manufactures Caesar salads. In January, the company initially budgeted to purchase and use 20,000 kilograms of lettuce at $1.18 per kilogram, with a budgeted A output of 70,000 salads. However, actual purchases for January totaled 22,000 kilograms, 5 and the actual usage amounted to 21,000 kilograms at $1.10 per kilogram. The actual 6 output for the month was 71,400 Caesar salads. 7 Input rate variances are isolated upon purchase. Input efficiency variances are isolated at the time of usage 8 9 Required: 10 1. Compute the rate and efficiency variances for direct materials for the month. Please 11 state if variances are favourable or unfavourable. (6 Marks)