Misterio Company uses a standard costing system. During the past quarter, the following variances were computed:

Misterio applies variable overhead using a standard rate of $2 per direct labor hour allowed. Two direct labor hours are allowed per unit produced. (Only one type of product is manufactured.) During the quarter, Misterio used 30 percent more direct labor hours than should have been used.LO1

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Variable overhead efficiency variance Direct labor efficiency variance Direct labor rate variance $ 24,000 U 120,000 U 10,400 U