Tercer reports the following for one of its products.

Direct materials standard (4 lbs. @ $3 per lb.)	$	12		per finished unit
Actual direct materials used (AQ)		330,000		lbs.
Actual finished units produced		64,000		units
Actual cost of direct materials used	$	924,000

AQ = Actual Quantity SQ = Standard Quantity AP = Actual Price SP = Standard Price

Compute the direct materials price and quantity variances and classify each as favorable, unfavorable or no variance.