P$2-1.$ The following standards have been established for a raw material used to make product N$04$:

Standard quantity of the material per unit of output:

$3\mathrm{.}3$ pounds

Standard price of the material:

$$15/$ pound

The following data pertain to a recent month's operations:

Actual material purchased:

Actual cost of the material purchased:

Actual material used in production

Actual output:

$6,000$ pounds

$$84,000$

$4,800$ pounds

$1,600$ units

Instructions:

a$.$ What was the material price variance for the month?

i$.$ Indicate whether the price variances is favorable $($F$)$ or unfavorable $($U$).$

ii$.$ Explain possible causes of the variances.

b$.$ What was the material quantity variance for the month?

i$.$ Indicate whether the quantity variances is favorable $($F$)$ or unfavorable $($U$).$

ii$.$ Explain possible causes of the variances.