QS 21-8 (Algo) Direct materials price and quantity variances LO P3 6 11.11 points 8 02:25.04 A company reports the following for one of its products Direct materials standard (3) pounds & $3 per pound) per unit Actual direct materials used (10) 250,000 pounds Actual units produced 60,000 unite Actual cost of direct materials used 5.687.500 AQ = Actual Quantity SQ = Standard Quantity AP = Actual Price SP Standard Price Compute the direct materials price and quantity variances and identify each as favorable or unfavorable. Actual Cost Standard Cost