A company reports the following for one of its products. Direct materials standard (3 pounds @$2 per pound) Actual direct materials used (AQ) Actual units produced Actual cost of direct materials used AQ Actual Quantity $ 6 per unit 280,000 pounds 72,000 units $ 476,000 SQ Standard Quantity AP Actual Price SP Standard Price Compute the direct materials price and quantity variances and identify each as favorable or unfavorable. Actual Cost AQ AP 280,000 x $ 0.00 $ 1 AQ 280,000 SP x $ 2.00 $ 560,000 $ 559,999 $ 559,999 128,000 $ 128,000 Standard Cost SQ 216,000 SP x $ 2.00 $ 432,000