Tharaldson Corporation makes a product with the following standard costs Direct materials Standard Quantity or Hours 7.6 ounces 0.5 hours Standard Price or Rate Standard Cost Per Unit $ 30.40 $ 5.00 $9.00 per hour $ 4.50 $ 4.00 per ounce $ 10.00 per hour Direct labor Variable overhead 0.5 hours 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 direct labor cost Actual cost of raw materials purchases Actual variable overhead cost 3,000 units 3,100 units 16,300 ounces 17,400 ounces 510 hours $ 45,000 $13,000 $ 3,500 The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are Ourchased.