[The following information applies to the questions displayed below.] A manufactured product has the following information for June. Standard Actual Direct materials (6 lbs. @ $8 per lb.) 45,600 lbs. @ $8.20 per lb. Direct labor (2 hrs. @ $16 per hr.) 14,800 hrs. @ $16.40 per hr. Overhead (2 hrs. @ $12 per hr.) $ 186,500 Units manufactured 7,500 Compute the direct materials price variance and the direct materials quantity variance. Indicate whether each variance is favorable or unfavorable. AQ = Actual Quantity SQ = Standard Quantity AP = Actual Price SP = Standard Price

Actual Cost Standard Cost