The Blue Spruce Chemical Manufacturing Company produces two primary chemical products to be used as base ingredients for a variety of products. The 2022 budget for the two products (in thousands) was as follows:

		LX-4		ABC-8		Total
Level of production in litres		2,100		2,100		4,200
Direct materials		$5,200		$6,500		$11,700
Direct labour		3,100		3,100		6,200
Total direct manufacturing cost		$8,300		$9,600		$17,900

The following planning assumptions were used for the budget: (1) a direct materials yield of 96%, and (2) a direct labour rate of $6 per hour. The actual results for 2022 were as follows (in thousands):

		LX-4		ABC-8		Total
Total litres produced		2,000		2,300		4,300
Direct materials		$4,742.00		$7,413.00		$12,155.00
Direct labour		3,255.00		4,030.00		7,285.00
Total direct manufacturing cost		$7,997.00		$11,443.00		$19,440.00

The actual production yield was 95% for LX-4 and 94% for ABC-8. The direct labour cost per hour for both products was $6.50.

(a)

Calculate for product LX-4: (1) the direct materials price variance, and (2) the direct materials efficiency (yield) variance. (Round intermediate calculations and final answers to 2 decimal places, e.g. 1.25. Enter answers in thousands.)

(1)		The direct materials price variance		$enter a dollar amount rounded to 2 decimal places	select an option Neither favourable nor unfavourableFavourableUnfavourable
(2)		The direct materials efficiency (yield) variance		$enter a dollar amount rounded to 2 decimal places	select an option Neither favourable nor unfavourableFavourableUnfavourable