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CoursHeroTranscribedText: Matthews & Bros. Is a local landscape construction company. In analyzing financial performance, the cost accountant compares actual results with a flexible budget The standard direct labor rates used In the flexible budget are established each year at the time the annual plan is formulated and held constant for the entire year. The standard direct labor rates In effect for the current fiscal year and the standard hours allowed for the actual output of work for July are shown In the following schedule. Standard Direct Standard Direct Worker Labor Rate per Labor-Hours Allowed Classification Hour for Output I $40 1,506 II 35 2,806 III 25 2,506 The wage rates for each labor class Increased under the terms of a new contract. The standard wage rates were not revised to reflect the new contract. The actual direct labor-hours worked and the actual direct labor rates per hour experienced for the month of July were as follows. Actual Direct Worker Labor Rate per Actual Direct Classification Hour Labor-Hours I $44 1, 668 II 38 2,606 III 26 1,806 Required: Calculate the dollar amount of the total direct labor variance for July for Matthews & Bros. and break down the total variance Into the following components: a. Direct labor price and efficiency variances. b. Direct labor mix and yield variances. Complete this question by entering your answers in the tabs below. Required A Required B Direct labor price and efficiency variances. (Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.) Direct labor price variance Efficiency variance

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