also answer what direct material variances will be investigated further if more than 5% of actual direct materials costs are present?

Required Information [The following information applies to the questions displayed below.] Hart Company made 3,340 bookshelves using 22,340 board feet of wood costing $308,292 The company's direct materials standards for one bookshelf are 8 board feet of wood at $13.70 per board foot AQ - Actual Quantity SQ = Standard Quantity AP - Actual Price SP Standard Price (1) Compute the direct materials price and quantity variances and classify each as favorable or unfavorable. (2) Hart applies management by exception by Investigating direct materials variances of more than 5% of actual direct materials cost Which direct materials variances will Hart Investigate further? 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. (Indicate the effect of each varian favorable, unfavorable, and no variance.) Actual Cost Standard Cost AQ AQ X SP SQ SP x X 0 X X X S 0 $ 0 S 5 0 Required 2