Miller Toy Company manufactures a plastic swimming pool at its Westwood Plant. The plant has been g problems as shown by its June contribution format income statement below Sales (15,000 pools) Variable expenses $450,000 $450,000 180,000 196,290 Variable cost of Variable selling expenses 20,000 20,000 200,000 216,290 250,000 233,710 Total variable expenses ion ma Fixed expenses Manufacturing overhead Selling and administrative 130,000 130,000 84,00084,000 214.000214.000 $ 36,000 19,710 Net operating income 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 concluded that the major problem lies in the variable cost of goods sold She has been provided with the has standard cost per swimming pool or Rate Cost $2.00 per pound S 600 or Hours Direct materials 0 8 hours 04 hours. $3.00 per hour Variable manufacturing overhead