Tharaldson Corporation makes a product with the following standard costs: Standard Quantity or Hours 7.4 ounces 0.3 hours 0.3 hours Standard Standard Price or Cost Per Rate Unit Direct materials Direct labor Variable overhead $2.00 per ounce 18.00 per hour 7.00 per hour $14.80 $ 5.40 $ 2.10 The company reported the following results concerning this product in June Originally budgeted output Actual output Raw materials used in production Purchases of raw materials Actual direct labor-hours Actual cost of raw materials purchases Actual direct labor cost Actual variable overhead cost 2,800 units 2,900 units 20,600 ounces 21,780 ounces 490 hours 42,200 12,800 $3,400 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 labor rate variance for June is