A furniture manufacturer has a standard costing system based on machine hours (MHs) as the measure of activity. Data from the company's flexible budget for manufacturing overhead are given below: Denominator Level of Activity 3.300 MHs Overhead Costs at the Denominator Activity Level: Variable Overhead Cost $31.845 Fixed Overhead Cost $40.425 The following data pertain to operations for the most recent period: Actual Hours 3.400 MHs Standard Hours Allowed for the Actual Output 3.078 MHs Actual Total Variable Overhead Cost $32.980 Actual Total Fixed Overhead Cost $38.975 What was the fixed overhead volume variance for the period, rounded to the nearest dollar? A. $1,225 favourable. B. $2,720 unfavourable. C. $2,81 1 unfavourable. D. $3,945 unfavourable