4 The following describes production activities of Mercer Manufacturing for the year. Actual direct materials used 28,000 1bs. at $4.90 per 1b. Actual direct labor used 8, 650 hours for a total of $174,730 Actual units produced 51, 600 Budgeted standards for each unit produced are 0.50 pound of direct material at $4.85 per pound and 10 minutes of direct labor at $21.20 per hour. eBook AH = Actual Hours SH = Standard Hours AR = Actual Rate Hint SR = Standard Rate AQ = Actual Quantity SQ = Standard Quantity Prin AP = Actual Price SP = Standard Price ferences (1) Compute the direct materials price and quantity variances and classify each as favorable or unfavorable. (Indicate the effect of each variance by selecting for favorable, unfavorable, and no variance. Round "Cost per unit" answers to 2 decimal places.) (2) Compute the direct labor rate and efficiency variances and classify each as favorable or unfavorable. (Indicate the effect of each variance by selecting for favorable, unfavorable, and no variance.) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the direct materials price and quantity variances and classify each as favorable or unfavorable. (Do not round intermediate calculations. Actual Cost Standard Cost