he following information relates to production activities of Mercer Manufacturing for the year. Actual direct materials used 17,400 pounds at $4.75 per pound Actual direct labor used 18,035 hours at $33 per hour Actual units produced 32,800 Standard quantity and price per unit for direct materials 0.50 pound at $4.70 per pound Standard quantity and rate per unit for direct labor 0.50 hour at $34 per hour AR= Actual Rate AQ= Actual Quantity SQ=StandardQuantity AP= Actual Price SP= Standard Price (1) Compute the direct materials price and quantity variances. (2) Compute the direct labor rate and efficiency variances