Heron Company produces a commercial cleaning compound known as Zoom The direct materials and direct labor standards for one (1) unit of Zoom are given below: Standard Quantity Standard Price or Hours or Rate Standard Cost Direct materials Direct labor 4.6 pounds 0.2 hours $2.50 per pound $18.00 per hour $11.50 3.60 During the most recent month, the following activity was recorded: a) 20.000 pounds of material were purchased at a cost of $2.35 per pound. b) All of the material purchased was used to produce 3.000 units of Zoom c) 750 hours of direct labor time were recorded at a total labor cost of $14.925. Required: 1. Compute the materials price and quantity variances for the month. 2. Compute the labor rate and efficiency variances for the month. In your solution, notice the materials price variance is computed for the entire amount of materials purchased, whereas the materials quantity variance is computed only for the amount of materials used in production Actual Quantity of Input, at Actual Price (AQ AP) Actual Quantity of Input, at Standard Price (AQ * SP) Standard Quantity Allowed for Output, at Standard Price (SQ * SP) X