For example, labor had increased due to a new daily truck loading system. This accounted for $34,400 of the unfavorable results. However, this increase in cost will benefit the company in the long term because it provides more customer contact and point of sale merchandising. There also should be a more in depth analysis of the variable costs (see below). You can see that the price variances for milk and sugar of $57,300 and $23,400 were the main drivers of the variable costs.