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 $(3,000$ pools$)$ $ $250,000$ $ $250,000$

Variable expenses:

Variable cost of goods sold$*53,43067,000$

Variable selling expenses $26,00026,000$

Total variable expenses $79,43093,000$

Contribution margin $170,570157,000$

Fixed expenses:

Manufacturing overhead $67,00067,000$

Selling and administrative $92,00092,000$

Total fixed expenses $159,000159,000$

Net operating income $($loss$)$ $ $11,570$ $ $(2,000)$

$*$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$.$ 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 or Hours Standard Price or Rate Standard Cost

Direct materials $4\mathrm{.}2$ pounds $ $2\mathrm{.}80$ per pound $ $11\mathrm{.}76$

Direct labor $0\mathrm{.}5$ hours $ $8\mathrm{.}30$ per hour $4\mathrm{.}15$

Variable manufacturing overhead $0\mathrm{.}5$ hours$*$ $ $3\mathrm{.}80$ per hour $1\mathrm{.}90$

Total standard cost per unit $ $17\mathrm{.}81$

$*$Based on machine$-$hours.

During June the plant produced $3,000$ pools and incurred the following costs:

Purchased $17,600$ pounds of materials at a cost of $$3\mathrm{.}25$ per pound.

Used $12,400$ pounds of materials in production. $($Finished goods and work in process inventories are insignificant and can be ignored.$)$

Worked $2,100$ direct labor$-$hours at a cost of $$8\mathrm{.}00$ per hour.

Incurred variable manufacturing overhead cost totaling $$7,560$ for the month. A total of $1,800$ 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.

b$.$ Labor rate and efficiency variances.

c$.$ Variable overhead rate and efficiency variances.