Milar Corporation makes a product with the following standard costs: Standard Quantity Standard Price or or Hours Rate Direct materials 11.8 pounds $18.58 per pound Direct labor 8.8 hours $34.88 per hour Variable overhead 8.8 hours $15.88 per hour In January the company produced 3,450 units using 13,800 pounds of the direct material and 2,880 direct laborhours. During the month, the company purchased 16,900 pounds of the direct material at a cost of $14,560. The actual direct labor cost was $97,506 and the actual variable overhead cost was $44,188. The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased. The labor rate variance for January is