Lucia Company has set the following standard cost per unit for direct materials and direct labor.

Direct materials (15 pounds @ $4 per pound)	$ 60
Direct labor (3 hours @ $16 per hour)	48

During May the company incurred the following actual costs to produce 8,600 units.

Direct materials (131,900 pounds @ $3.80 per pound)	$ 501,220
Direct labor (29,400 hours @ $16.10 per hour)	473,340

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. (2) Compute the direct labor rate variance and the direct labor efficiency variance.

\begin{tabular}{l|l} Required 1 & Required 2 \end{tabular} Compute the direct materials price and quantity variances. (Indicate the effect of each variance by selecting favorable, unfavorable Required 2> Compute the direct labor rate variance and the direct labor efficiency variance. (Indicate the effect of each variance by selecting variance. Round "Rate per hour" answers to 2 decimal places.)