Acme Companys production budget for August is 18,000 units and includes the following component unit costs: direct materials, $8.00; direct labor, $10.50; variable overhead, $6.40. Budgeted fixed overhead is $37,000. Actual production in August was 19,950 units, actual unit component costs incurred during August include direct materials, $8.70; direct labor, $9.90; variable overhead, $7.30. Actual fixed overhead was $39,000, the standard direct material cost per unit consists of 10 pounds of raw material at $0.8 per pound. During August, 247,950 pounds of raw material were used that were purchased at $0.70 per pound.

Required:

Calculate the materials price variance and materials usage variance for August. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable.)