As part of the budgeting process, the Duck Decoy Department of Para Company had developed the following static budget for the third quarter. The actual information pertains to the third quarter. Duck Decoy is in the process of preparing the flexible budget and understanding the results.

	Actual	Flexible	Static
	Results	Budget	Budget
Sales volume (in units)	11,000		10,000
Sales revenues	$238,000	$	$230,000
Variable costs	150,000	$ ________	180,000
Contribution margin	88,000	$	50,000
Fixed costs	36,000	$ ________	35,000
Operating profit	$52,000	$	$15,000

1. Compute the flexible-budget variance for variable costs.

2. The flexible-budget variance for variable costs is ________.