Founders State Bank developed a standard for teller staffing that provided for one teller to handle 10 customers per hour. During June, the bank averaged 58 customers per hour and had eight tellers on duty at all times. (Relief tellers filled in during lunch and rest breaks.) The teller compensation cost is $12 per hour. The bank is open eight hours a day, and there were 20 working days during June. Required:
a. Calculate the teller efficiency variance during June expressed in terms of number of tellers and cost per hour.
b. Calculate a teller efficiency variance for the 11 to 1 period expressed in terms of number of tellers per hour and total cost for the month.
c. Calculate a teller efficiency variance for the other six hours of the day expressed in terms of number of tellers per hour and total cost for the month.