Direct materials (15 pounds @ \$3 per pound) $45 Direct labor ( 2 hours @ $15 per hour) 30 During May the company incurred the following actual costs to produce 8,400 units. Direct materials (129,700 pounds @ $2.80 per pound) Direct labor (21,200 hours @ $15.10 per hour) $63,160 320,120 AR= Actual Rate SR= Standard Rate AQ= Actual Quantity SQ= Standard Quantity AP= Actual Price SP= Standard Price (1) Compute the direct materials price and quantity variances. (2) Compute the direct labor rate variance and the direct labor efficiency variance. Complete this question by entering your answers in the tabs below. Compute the direct materials price and quantity variances. (Indicate the effect of each variance by selecting favorable, unfavora