The managers of Viewx, a contract manufacturer of DVD drives, are seeking explanations for the variances in the following report. Explain the meaning of each of Viewx€™s materials, labour, and overhead variances.

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VIEWX CO. Standard Cost Income Statement Year Ended December 31 Sales revenue Cost of goods sold at standard cost Manufacturing cost variances: $1,200,000 700,000 Direct materials price variance Direct materials efficiency variance Direct labour price variance Direct labour efficiency variance Manufacturing overhead flexible budget variance Production volume variance Total manufacturing variances 8,000 F 32,000 U 24,000 F 10,000 U 28,000 U 8,000 F Cost of goods sold at actual cost Gross profit Marketing and administrative expensers Operating income 30,000 730,000 470,000 418,000 $52,000