The May 2016 revenue and cost information for Austin Outfitters, Inc. follows:

Sales Revenue (at standard) $580,000

Cost of Goods Sold (at standard) 343,000

Direct Materials Cost Variance 1,200 F

Direct Materials Efficiency Variance 6,000 F

Direct Labor Cost Variance 4,400 U

Direct Labor Efficiency Variance 2,000 F

Variable Overhead Cost Variance 3,000 U

Variable Overhead Efficiency Variance 1,500 U

Fixed Overhead Cost Variance 1,200 U

Fixed Overhead Volume Variance 8,200 F

Prepare a standard cost income statement for management through gross profit. Report all standard cost variances for management's use. Has management done a good or poor job of controlling costs? Explain.

Austin Outfitters, Inc.

Standard Cost Income Statement For the Month Ended May 31, 2016

Sales Revenue at Standard

Provide below a comprehensive narrative answer below addressing the all four variances (a paragraph for each variance.) Note: "Alt and Enter" will put in a return within the cell, so do this twice to make paragraphs.