11.3 Azalea Limited provides the following information relating to its variable overheads.

Overheads are absorbed on the basis of direct labour hours:

Budgeted standard total variable overhead £150,000 Actual variable overhead £145,000 Budgeted standard direct labour hours 6,500 Actual standard direct labour hours 6,700 Standard direct labour hours needed to produce 1 unit 1 Actual units produced 7,000 Calculate the variable overhead expenditure and efficiency variances for the company.