Exercise 17-18 Variable Cost Variances: Materials Purchased and Materials Used Are Not Equal (LO 17-1) Gates Corporation reported the following information concerning its direct materials: Direct materials purchased (actual) Standard cost of materials purchased Standard price times actual amount of materials used Actual production Standard direct materials costs per unit produced $673,000 $688,000 444,000 22,000 units $ 20 Required: Compute the direct materials cost variances. (Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.) Direct Materials Price variance Efficiency variance Cost variances