Exercise 10-26 Straightforward Calculation of Variances (LO 10-1, 10-3) During June, Danby Company's material purchases amounted to 6,700 pounds at a price of $8.00 per pound. Actual costs incurred in the production of 2,300 units were as follows: Direct labor: Direct material: $134,420 ($18.80 per hour) $ 39,200 $8.00 per pound) The standards for one unit of Danby Company's product are as follows: Direct Labor: Quantity, 3 hours per unit Rate, $18.70 per hour Direct Material: Quantity, 2 pounds per unit Price, $ 7.70 per pound Required: Compute the direct-material price and quantity variances, the direct-material purchase price variance, and the direct-labor rate and efficiency variances. (Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "O" for no effect (i.e., zero variance).) Direct-material price variance Direct-material quantity variance Direct-material purchase price variance Direct-labor rate variance Direct-labor efficiency variance