Direct materials $(15$ pounds @ $$4$ per pound$)$ $$60$

Direct labor $(3$ hours a $$15$ per hour$)45$

During June the company incurred the following actual costs to produce $8,500$ units.

Direct materials $(129,900$ pounds @ $$3\mathrm{.}75$ per pound$)$

$$487,125$

$445,360$

AR $=$ Actual Rate

$SR=$ Standard Rate

$AQ=$ Actual Quantity

$SQ=$ Standard Quantity

$AP=$ Actual Price

SP $=$ Standard Price

$AH=$ Actual Hours

$(1)$ Compute the direct materials price and quantity variances.

$(2)$ Compute the direct labor rate variance and the direct labor efficiency variance.

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Compute the direct materials price and quantity variances.

Note: Indicate the effect of each variance by selecting favorable, unfavorable, or no variance.