Yep that's about right. Actually the VariX III scopes start at $400 and run up to 800. The cost depends on what kind of scope you get, for example, the VX I runs from $180 to 270 and the VX II from 300 to 450. Look at cabelas' website and you will see all the prices of the different scopes leupold has at www.cabelas.com
I'll admit I haven't used a simmons scope, and yes they are a cheaper brand but don't know about the quality but am sure that it isn't anywhere near the leupold. If you are looking at getting the best brand between the two then the leupold is the way to go. JMO