Tercer reports the following for one of its products. Direct materials standard (4 lbs. @ $2 per lb.) Actual direct materials used (AQ) Actual finished units produced Actual cost of direct materials used $ 8 per finished unit 320,000 lbs. 62,000 units $560,000 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. Actual Cost Standard Cost