Gumchara Corporation reported the following information with respect to the materials required to manufacture amalgam florostats during the current month.

Standard price per gram of materials $4

Standard quantity of materials per amalgam florostat 5 grams

Actual materials purchased and used in production 6,000 grams

Actual amalgam florostats produced during the month 1,000 units

Actual cost of materials purchased $18,000

Normal monthly output900 units

a.Determine Gumchara's materials price variance.

b.Determine Gumchara's materials quantity variance.

c.Will Gumchara's overhead volume variance be favorable or unfavorable?