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

Direct materials $(15$ pounds @ $$3$ per pound$)$

Direct labor $(4$ hours @ $$16$ per hour$)$

$$45$

$64$

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

Direct materials pounds a $$2\mathrm{.}80$ per pound$)$

$$372,120$

$615,020$

Direct labor hours a $$16\mathrm{.}10$ per hour$)$

$AR=$ Actual Rate

$SR=$ Standard Rate

$AQ=$ Actual Quantity

$SQ=$ Standard Quantity

$AP=$ Actual Price

$SP=$ Standard Price

$AH=$ Actual Hours

$SH=$ Standard Hours

$(1)$ Compute the direct materials price and quantity variances.

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

Complete this question by entering your answers in the tabs below.

Required $1$

Compute the direct materials price and quantity variances.

Note: Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.