Snazzy Jeans, Inc. manufactures designer jeans. The company uses standard costing and has developed the following information about standards for its...

Snazzy Jeans, Inc. manufactures designer jeans. The company uses standard costing and has developed the following information about standards for its product.Materials 2 yards per unit, $10 per yardLabor 0.25 DL hour per unit, $11 per hourDuring October, the company experienced an unanticipated spike in demand and increased production. Although planned production was for 8,000 units, the company actually produced 10,000 units.In anticipation of the original production volume, 18,000 yards were purchased, at a total cost of $175,000. During the month, 22,000 yards of material were used, and 2,400 direct labor hours were worked. Direct labor cost for the month totaled $27,000.Compute the direct labor efficiency variance and specify if it is favorable or unfavorable.Direct labour efficiency variance = (Standard labour hours for actual quantity - Actual labourhours used for actual quantity )*standard labour rateDirect labour efficiency variance =...