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 (4,000 pools) $ 21e ee $ 210,000 Variable expenses Variable cost of goods sold 50,680 63,710 Variable selling expenses 12.000 12,000 Total variable expenses 62,680 75,710 Contribution margin 147,320 134,290 Fixed expenses Manufacturing overhead 61,000 61,000 Selling and administrative 76.00 70,000 Total find expenses 17.000 127000 Het operation Inco (los) 10,320 (2,710) Contains direct materials, direct lobos 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 Dunn has concluded that the major problemlles in the variable cost of goods sold She has been provided with the following standard cost per swimming pool Check my wor Standard Quantity or Hours 3.7 pounds 0.6 hours 2.4 hours Direct saterials Direct labor Variable manufacturing overbead Total standard cost per unit Based on machine-hours Standard Price or Rate $ 2.10 per pound 5.6.70 per hour $ 2.20 per hour Standard Cost $ 7.77 4.02 0.88 $ 12.67 During June the plant produced 4.000 pools and incurred the following costs a. Purchased 19.800 pounds of materials at a cost of $255 per pound b. Used 14.600 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 56.40 per hour dincurred variable manufacturing overhead cost totaling $4,940 for the month. A total of 1900 machine hours was recorded It is the company's policy to close all variances to cost of goods sold on a monthly basis. Required: 1 Compute the following variances for June a Materials price and quantity variances Labor rate and efficiency variances c. Varable 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 1a. Compute the following variances for June, materials price and quantity variances. 1b. Compute the following variances for June, labor rate and efficiency variances. 10. 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 "one" for no effect (.e., zero variance). Input all amounts as positive values.) Show less 1a Material price variance 1a. Material quantity variance 16 Labor rate variance 16. Labor efficiency variance 1c Variable overhead rate variance 1c Variable overhead officiency variance Required 2 > Complete this question by entering your answers in the tabs below. Required Required 2 Summarize the variances that you computed in (1) above by showing the net overall favorable or unfavorable variance for the month. Indicate the effect of each variance by selecting "F" for favorablo, "U" for unfavorable, and "None" for no effect (... zero variance). Input the amount as positive value.) Nistance