Exercise 21-11 Direct materials and direct labor variances LO P3 Hutto Corp, has set the following standard direct materials and direct labor costs per unit for the product it manufactures sze Direct materials (14 lbs. @ $5 per lb.) Direct labor (2 hrs. $15 per hr.) During May the company incurred the following actual costs to produce 8,400 units. Direct materials (121,400 lbs. $4.30 per lb.) Direct labor (20,400 hrs. $15.10 per hr.). 5582,720 308.000 AH-Actual Hours SH = Standard Hours AR - Actual Rate SR Standard Rate AQ - Actual Quantity SQ - Standard Quantity AP - Actual Price SP Standard Price (1) Compute the direct materials price and quantity variances (Indicate the effect of each variance by selecting for favorable, unfavorable, and no variance.) (2) Compute the direct labor rate variance and the direct labor efficiency variance. (Indicate the effect of each variance by selecting for favorable, unfavorable, and no variance. Round "Rote per hour answers to 2 decimal places.) Answer is not complete. Complete this question by entering your answers in the tabs below. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the direct materials price and quantity variances. Indicate whether each variance is favorable or unfavorable. Standard Cost Actual Cost AQ IX 121.400 X SPO AQX 121,400 $ 4.80 $ 5.00 SO 8.400 SP $ 1400 X 582,720 607,000 $117,600 24 280 489 400 Direct materials price variance Direct materials quantity variance Total direct materials variance $ 24,280 489,400 Favorable Favorable Unfavorable (465,120) Required 2 > Required 1 Required 2 Compute the direct labor rate variance and the direct labor efficiency variance. Indicate whether each variance is favorable or unfave Standard Cost Actual Cost X AH 20,400 AR 15.10 20,400 SR $ 4.80 SH 17,800 SR $ 15.00 x S 308,040 $ 97,920 267,000 210 120 (169.080) 210,120 169,080