DIRECT COST VARIANCES Data: Smith Company has the following standards to produce one unit of finished product. Direct materials: 3 pounds at $4 per pound Direct Labor: 4 hours at $20 per hour The Smith Company produced 5,000 products during the period. Direct material used in production equals 14.800 lbs. The direct labor workers worked 20.300 hours. Required: Calculate the direct material quantity variance and the direct labor efficiency variance. Indicate if each is favorable or unfavorable