Miller Toy Company manufactures a plastic swimming pool at its Westwood Plant. The plant has been experiencing problems as shown by its June contribution format income statement below: Flexible Budget Actual Sales (4,333 pools) $ 239,330 5 239,300 Variable expenses: Variable cost of goods sold\" 5?,630 23,330 Variable selling expenses 16,330 16,300 Total variable expenses 73,630 86,390 Contribution margin 165,320 152,610 Fixed expenses: Manufacturing overhead 30,330 30,300 Selling and administrative 82,330 82,300 Total fixed expenses 154,330 154,300 Net operating income (loss) 5 11.323 5 (1.393) *Contains direct materials, direct labor. and variable manufacturing overhead. Janet Dunn, who hasjust been appointed general manager ofthe Westwood Plant, has been given instructions to \"get things under control." Upon reviewing the plant's income statement, Ms. Dunn has concluded that the major problem lies in the variable cost of goods sold- She has been provided with the following standard cost per swimming pool: Standard Quantity\"r or Standard Hours Standard Price or Rate Cost Direct materials 3.2 pounds 5 2.?3 per pound $ 8.54 Direct labor 3.6 hours 5 ?.33 per hour 4.38 Variable manufacturing overhead 3.5 hours' 5 2.83 per hour 1-4-0 Total standard cost per unit 3 14-4-2 *Eiased on machine-hours. During June, the plant produced 4,000 pools and incurred the following costs: a. Purchased 17,800 pounds of materials at a cost of $3.15 per pound. b. Used 12,600 pounds of materials in production- [Finished goods and work in process inventories are insignificant and can be ignored.) c. Worked 3,000 direct labor-hours at a cost of $100 per hour. d. Incurred variable manufacturing overhead cost totaling $1360 for the month. A total of 2,300 machinehours was recorded. It is the company's policy to close all variances to cost of goods sold on a monthly.r basis. Required: 1. Compute the following variances for June: a. Materials price and quantity variances. b. Labor rate and efficiency variances. c. Variable overhead rate and efficiency variances. 2. Summarize the variances that you computed in (1) above by showing the net overall favorable or unfavorable variance for the month. Complete this question by entering your answers in the tabs below. Required 1 Required 2 la. Compute the following variances for June, materials price and quantity variances. 1b. Compute the following variances for June, labor rate and efficiency variances. 1c. Compute the following variances for June, variable overhead rate and efficiency variances. (Do not round your intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.) Show lessA 1a. Material price variance 1a. Material quantity variance 1b. Labor rate variance 1b. Labor efficiency variance 1c. Variable overhead rate variance 1c. Variable overhead efficiency variance