AQ= Actual Quantity

A company reports the following for one of its products. Direct materials standard (4 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 SP = Standard Price $ 8 per unit eee pounds see, 61,eee units $ 525, eee Compute the direct materials price and quantity variances and identify each as favorable or unfavorable. ctual Cos tandard Cos