Tharaldson Corporation makes a product with the following standard costs: Standard Cost Por Unit $ 11.00 $ 4.40 $ 2.80 Standard Quantity or Hours Standard Price or Rate Direct materials 5.5 ounces $ 2.00 per ounce Direct labor 0.4 hours $ 11.00 per hour Variable overhead 0.4 hours $ 7.00 per hour The company reported the following results concerning this product in June. Originally budgeted output 4,100 units Actual output 4,100 units Raw materials used in production 20,500 ounces Purchases of raw materials 22,700 ounces Actual direct labor-hours 550 hours Actual cost of raw materials purchases $ 42,800 Actual direct labor cost $ 14,100 Actual variable overhead cost $ 3,950 The company applies variable overhead on the basis of direct labor hours. The direct materials purchases variance is computed when the materials are purchased The variable overhead rate variance for June is: The company apples variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased The variable overhead rate variance for June is Multiple Choice $1120 $112 $100 $100U