Saskatchewan Can Company manufactures recyclable soft-drink cans. A unit of production is a case of 12 dozen cans. The following standards have been set by the production-engineering staff and the controller.

Direct Labor:Direct Material:Quantity, 0.29 hourQuantity, 8 kilogramsRate, $14.50 per hourPrice, $0.68 per kilogram

Actual material purchases amounted to 412,800 kilograms at $0.70 per kilogram. Actual costs incurred in the production of 48,000 units were as follows:

Direct labor:$228,096 for 15,360 hoursDirect material:$273,840 for 391,200 kilograms 1. Use the variance formulas to compute the direct-material price and quantity variances, the direct-material purchase price variance, and the direct-labor rate and efficiency variances. Indicate whether each variance is favorable or unfavorable. Note: Indicate the effect of each variance by selecting "Favorable" or "Unfavorable". Select "None" and enter "0" for no effect (i.e., zero variance)