19A manufacturing company uses a standard costing system in which standard machine-hours (MHs) is the measure of activity. Data from the company's flexible budget for manufacturing overhead are given below:

Denominator level of activity	6,900	MHs
Overhead costs at the denominator activity level:
Variable overhead costs	$37,950
Fixed overhead cost	$75,900

The following data pertain to operations for the most recent period:

Actual hours	7,100	MHs
Standard hours allowed for the actual output	6,762	MHs
Actual total variable manufacturing overhead cost	$41,400
Actual total fixed manufacturing overhead cost	$74,920

The fixed manufacturing overhead budget variance for the period is closest to:

$3,450 F

$3,718 U

$980 F

$538 F