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Paradise Corp. has determined a standard labor cost per unit of $31 (0.50 hour × $62 per hour). Last month, Paradise incurred 988 direct labor hours for which it paid $27,911. The company produced and sold 2,900 units during the month.
Problem 1: Calculate the direct labor rate, efficiency, and spending variances. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Round your intermediate calculations to 2 decimal places.)
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