A company's flexible budget for the range of 31,000 units to 40,000 units of production showed variable overhead costs of $3.30 per unit and fixed overhead costs of $62,000. The company incurred total overhead costs of $166,800 while operating at a volume of 40,000 units. The total controllable cost variance is:

Multiple Choice

A. $27,200 favorable.

B. $2,500 unfavorable.

C. $9,000 favorable.

D. $27,200 unfavorable.

E. $2,500 favorable.