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Problem 10-16 Comprehensive Variance Analysis [LO10-1, L010-2, LO10-3] Highland Company produces a lightweight backpack that is popular with college students. Standard variable costs relating to a single backpack are given below: Standard Quantity or Hours Standard Price or Rate Standard Cost Direct materials $4.50 per yard Direct labor Variable manufacturing overhead Total standard cost per unit per direct $2 labor-hour Overhead is applied to production on the basis of direct labor-hours. During March, 525 backpacks were manufactured and sold Selected information relating to the month's production is given below: Variable Materials Used $9,450 $7,700 Direct Manufacturing Labor $5,880 Overhead $1,470 $1,615 Total standard cost allowed* Actual costs incurred Materials price variance Materials quantity variance Labor rate variance Labor efficiency variance Variable overhead rate variance Variable overhead efficiency variance $450U For the month's production The following additional information is available for March's production: Actual direct labor-hours Difference between standard and actual cost per 900 0.20 F backpack produced during March Required: Hint: It may be helpful to complete a general model diagram for direct materials, direct labor, and variable manufacturing overhead before attempting to answer any of the requirements