Scenario:
Delmar Products prepares its budgets on the basis of standard costs. A responsibility report is prepared monthly, showing the differences between master budget and actual results. Variances are analyzed and reported separately. There are no materials inventories. The following information relates to the current period:
Standard costs (per unit of output)
Direct materials, 6 gallons @ $4.00 per gallon	$24
Direct labor, 4 hours @ $40 per hour	160
Factory overhead
Variable (25% of direct labor cost)	40
Total standard cost per unit	$224
Actual costs and activities for the month follow:
Materials used	15,120 gallons at $3.60 per gallon
Output	2,280 units
Actual labor costs	6,400 hours at $44 per hour
Actual variable overhead	$72,900
REQUIRED
Prepare a cost variance analysis for the variable costs.