For the coming period Candy has budgeted to purchase and use 41,650 ounces of icing at $0.21 an ounce. She budgeted for 19,800 full dozen doughnuts to be iced. If actual purchases and usage were...

For the coming period Candy has budgeted to purchase and use 41,650 ounces of icing at $0.21 an ounce. She budgeted for 19,800 full dozen doughnuts to be iced. If actual purchases and usage were 43,000 ounces  at $0.19 an ounce and output was 20,000 full dozen iced doughnuts, what would the variances be?

1. Compute the flexible-budget variance

2. Compute the price and efficiency variances.