Lucia Company has set the following standard cost per unit for direct materials and direct labor. Direct materials (16 pounds @ $3 per pound) Direct labor (3 hours @ $16 per hour) During May the company incurred the following actual costs to produce 8,600 units. Direct materials (140,200 pounds @ $2.80 per pound) Direct labor (29,100 hours @ $16.10 per hour) AR = Actual Rate SR = Standard Rate AQ = Actual Quantity SQ=Standard Quantity AP = Actual Price SP = Standard Price $ 48 48 $ 392,560 468,510 (1) Compute the direct materials price and quantity variances. (2) Compute the direct labor rate variance and the direct labor efficiency variance.