A manufacturing company has a standard costing system based on standard direct labor-hours (DLHs) as the measure of activity. Data from the company's flexible budget for manufacturing overhead are given below:

Denominator level of activity	8,000	DLHs
Overhead costs at the denominator activity level:
Variable overhead cost	$ 44,000
Fixed overhead cost	$ 88,000

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

Actual hours	8,200	DLHs
Standard hours allowed for the actual output	7,840	DLHs
Actual total variable manufacturing overhead cost	$ 48,000
Actual total fixed manufacturing overhead cost	$ 86,910

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

Multiple Choice

• $3,960 U

• $1,090 F

• $670 F

• $4,000 F