The following information relates to production activities of Mercer Manufacturing for the year.

Actual direct materials used

Actual direct labor used

Actual units produced

Standard quantity and price per unit for direct materials

Standard quantity and rate per unit for direct labor AR$=$ Actual RateSR$=$ Standard RateAQ$=$ Actual QuantitySQ$=$ Standard QuantityAP$=$ Actual Price qquadSP$=$ Standard Price$(1)$ Compute the direct materials price and quantity variances.$(2)$ Compute the direct labor rate and efficiency variances.qquadCompute the direct labor rate and efficiency variances. $($Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.$)$