Variances, Total Overhead Variances, and Variance Reconciliation Milton Company planned to

produce $21,000$ units of its only product during the year. Milton established the following standard

cost data for this product prior to the beginning of the year:

Assume that Milton $(1)$ actually produced $22,000$ units, $(2)$ used $68,000$ pounds of direct materials in

production, $(3)$ and incurred the following actual total costs:

Required

a$.$ Calculate the variances for materials, labor, and variable overhead.

b$.$ Does the difference between total actual costs and total standard costs equal the sum of all of the

variances? Explain.