B. QS 21-8 (Algo) Direct materials price and quantity variances LO P3 Book A company reports the following for one of its products. Direct materials standard (4 pounds & $2 per pound) $ 8 per unit Actual direct materials used (10) 320,000 pounds actual units produced 63,000 units Actual cost of direct materials used $ 576,000 AQ - Actual Quantity SQ - Standard Quantity AP Actual Price SP Standard Price Compute the direct materials price and quantity variances and identify each as favorable or unfavorable. Hint Print Actual Cost Standard Cost erences