Reed Corp. has set the following standard direct materials and direct labor costs per unit for the product it manufactures. Direct materials (16 lbs. @ $3 per lb.) Direct labor (4 hrs. @ $15 per hr.) $48 60 During June the company incurred the following actual costs to produce 8,600 units. Direct materials (140,100 lbs. @ $2.75 per lb.) Direct labor (38,500 hrs. @ $15.15 per hr.). $385,275 583,275 AQ = Actual Quantity SQ = Standard Quantity AP = Actual Price SP - Standard Price AH = Actual Hours SH = Standard Hours AR = Actual Rate SR - Standard Rate