Baron Ltd makes a commercial cleaning compound known as Loomp. The direct materials and direct labour standards for one unit of Loomp follow Standard Quantity or hours Standard Price or Rate Standard Cost Direct materials 2.1 Kg $5.50 per kg $11.55 Direct Labour 0.2 hour 12.00 per hour 2.40 During the most recent month, the following activity was recorded a. 9,000 kg of materials were purchased at a cost of $5.20 per kg b. All of the material purchased was used to produce 4,000 units of Loomp c. A total of 750 hours of direct labour time was recorded at a total labour cost of $10,425 Required: 1. Compute the direct materials price and quantity variances for the month 2. Compute the direct labour rate and efficiency variances for the month