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 SQ-Standard Quantity AP Actual Price $6 per unit 260,000 pounds 70,000 units $ 455,000 SP-Standard Price Compute the direct materials price and quantity variances and identify each as favorable or unfavorable. Actual Cost Standard Cont