Lucia Company has set the following standard cost per unit for direct materials and direct labor.

Direct materials $(14$ pounds @ $$4$ per pound$)$ $ $56$

Direct labor $(4$ hours @ $$14$ per hour$)56$

During May the company incurred the following actual costs to produce $8,600$ units.

Direct materials $(123,200$ pounds @ $$3\mathrm{.}80$ per pound$)$ $ $468,160$

Direct labor $(38,700$ hours @ $$14\mathrm{.}10$ per hour$)545,670$

AR $=$ Actual Rate

SR $=$ Standard Rate

AQ $=$ Actual Quantity

SQ $=$ Standard Quantity

AP $=$ Actual Price

SP $=$ Standard Price

AH $=$ Actual Hours

SH $=$ Standard Hours

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

$(2)$ Compute the direct labor rate variance and the direct labor efficiency variance.Lucia Company has set the following standard cost per unit for direct materials and direct labor.

Direct materials $(14$ pounds @ $$4$ per pound$)$ $$56$

Direct labor $(4$ hours @ $$14$ per hour$)56$

During May the company incurred the following actual costs to produce $8,600$ units.

Direct materials pounds a $$3\mathrm{.}80$ per pound$)$

$$468,160$

Direct labor hours @ $$14\mathrm{.}10$ per hour$)$

$AR=$ Actual Rate

$SR=$ Standard Rate

$AQ=$ Actual Quantity

$SQ=$ Standard Quantity

$AP=$ Actual Price

$SP=$ Standard Price

$AH=$ Actual Hours

$SH=$ Standard Hours

$(1)$ 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.

Required $1$

Required $2$

Compute the direct materials price and quantity variances.

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