A company uses the following standard costs to produce a single unit of output.

Direct materials	8 pounds at $0.70 per pound	=	$	5.60
Direct labor	0.3 hour at $8.00 per hour	=	$	2.40
Manufacturing overhead	0.3 hour at $3.30 per hour	=	$	0.99

During the latest month, the company purchased and used 76,000 pounds of direct materials at a price of $0.90 per pound to produce 10,000 units of output. Direct labor costs for the month totaled $21,791 based on 2,830 direct labor hours worked. Variable manufacturing overhead costs incurred totaled $6,900 and fixed manufacturing overhead incurred was $12,000. Based on this information, the total direct labor cost variance for the month was:

Multiple Choice

• $2,209 favorable

• $849 favorable

• $1,360 unfavorable

• $1,360 favorable

• $849 unfavorable