QS 21-8 Direct materials price and A company reports the following for one of its products. Compute the direct materials price and quantity variances and identify each as favorable or unfavorable. intity Varia Direct materials standard (4 lbs. @ $2 per lb.) Actual direct materials used Actual units produced Actual cost of direct materials used $8 per unit 300,000 lbs. 60,000 units $540,000

A company reports the following for one of its products. Compute the direct materials price and quantity variances and identify each as favorable or unfavorable