6.00 points Miller Toy Company manufactures a plastic swimming pool at its Westwood Plant. The plant has been experiencing problems as shown by its June contribution format income statement below Budgeted Actual 265,000 $265,000 Sales (8.000 pools) Variable expenses: Variable cost of goods sold 88,960 106,490 Variable selling expenses Total variable expenses Contribution margin Foed expenses: 6,000 16,000 04,960 122,49 60,040 142,510 Manufacturing overhead Seling and administrative 5,00065.000 80,000 80.000 45,000 145.000 s 15,040 $ (2490) Total fixed expenses Net operating income (loss) Contains direct materials, direct labor, and variable manufacturing overhead Janet Dunn, who has just been appointed general manager of the Westwood Plant, has been given instructions to "get things under control. Upon reviewing the plant's income statement, Ms. Dunn has concluded that the major problem lies in the variable cost of goods sold. She has been provided with the following standard cost per swimming pool Standard Quantity Standard Price St or Hours 3.0 pounds 04 hours or Rate $2.50 per pound $7.10 per hour $260 per hour Cost Direct materials Direct labor Variable manufacturing overhead 0.3 hours $ 7.50 2.84 0.78 Total standard cost s 11 Based on machine-hours During June the plant produced 8,000 pools and incurred the following costs