For the current year Foxborough Corp. budgeted to produce and sell 20,000 units. Foxboroughs actually produced and sold 18,000 units. Other relevant data includes:

Direct Materials (all materials purchased were used):

Budgeted cost: $14.00 per pound.

Standard material allowed: 2.3 pounds per unit.

Actual materials cost $16.00 per pound for a total cost of $608,000.

Direct Manufacturing Labor:

Standard cost is 0.3 hours per unit at $34.00 per hour.

Actual labor hours used were 6,300 at a price of $32.50 per hour.

a. Calculate the direct materials price, efficiency, and flexible budget variances.

b. Give a possible cause or driver of the materials efficiency variance. Be specific.

c. Calculate the direct labor price, efficiency, and flexible budget variances.